■ With most fixed-rate mortgages “too expensive”, Ray Boulger at leading brokers John Charcol says variable rate deals account for almost two-thirds of the home-loan market. Purchases account for nearly 58 per cent of the market, with the rest remortgages, while first-time buyers account for only 10.4 per cent of the total market.
“New products such as Northern Rock’s five-year fix at 4.99 per cent, up to 70 per cent LTV with a relatively low fee of £595 for purchasers (£995 for remortgagers) plus free valuation and free legals, are helping to drive value back to the fixed-rate market,”
says Mr Charcol.
■ Loan rates are still rising, despite bank rate being still at a record low of 0.5 per cent, says Michelle Slade, at Moneyfacts.
co.uk.
Following tightening of lending criteria, the past six months has seen £335 added to the cost of the average £25,000 personal loan, says Ms Slade.
That takes the total increased cost for borrowers of a £25,000 personal loan since the crunch began to £1,804 over the five-year repayment period.
■ Savers keen to get income from their portfolio might take a look at Newton Asian Income Fund, says Andy Parsons, of the Share Centre. “In the year to date, it has returned 40.56 per cent, while paying a dividend of nearly five per cent,” he says.
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