Borrowers 'using mortgage intermediaries'

Posted: 20 Jul 2009 08:42:37 GMT

Mortgage intermediaries are often the first port of call for those who are planning to buy a property, according to the Intermediary Mortgage Lenders Association (IMLA).

A reduced mortgage market - the association claims it is less than half the size it was during its pre-recession peak - means that the experience of an intermediary is valuable to both borrowers and lenders.

"Their experience and expertise are particularly valuable in the current economic conditions, when mortgage availability remains scarce and it is harder than ever for would-be borrowers to source suitable mortgage deals," said Peter Williams, executive director of the IMLA.

He cited figures from the Council of Mortgage Lenders which indicated that some 70 per cent of first-time buyer loans came through intermediaries during the first quarter of the year.

Last week, the Telegraph's Nina Montagu-Smith offered a number of tips for getting a "decent mortgage deal" amid the current credit crunch.

She suggested that a tracker mortgage may be worth considering, or opting for a part fixed-rate, part tracker combination deal.

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