You are here: Home - News -

Coventry Building Society plans remortgage criteria review

by:
  • 15/02/2017
  • 0
Coventry Building Society plans to carry out a review of its remortgage criteria which defines acceptable reasons for refinancing a home loan.

The society said the review, planned for later this year, will include whether to allow a remortgage of a shared equity property, where the purpose of the additional funds is to repay an equity loan advanced through the Help to Buy scheme.

A spokesperson for Coventry said this type of transaction may be appropriate for a borrower who had seen their house price rise to a level which would give them the capacity to remortgage and clear the equity loan.

Currently, the Coventry does not participate in the Help to Buy market. It will offer a remortgage to a Help to Buy equity loan borrower only if they have already paid off the equity loan element of the mortgage.

Mortgage lenders came under fire this week, after new-build mortgage brokers criticised the lack of interest shown by some of the UK’s largest banks and building societies to offer remortgages to Help to Buy equity loan borrowers looking to keep the loan in place.

HSBC, Santander, Nationwide, NatWest and Virgin Money, do not offer remortgage products for Help to Buy equity loan borrowers. Virgin Money said it planned to review its position in this market, while Barclays confirmed it was weeks away from launching a product.

Coventry would not confirm any timescales for its review.

There are 0 Comment(s)

Comments are closed.

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.

Profiles

Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.

Marketwatch

Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.

Poll

Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
Read previous post:
Financial Services Compensation Scheme
TMA urges brokers to fight ‘unfair’ FSCS levy

TMA Mortgage Club is calling for brokers to fight back and respond to an FCA consultation paper on the way...

Close