Some might say ‘about time too…’

During the 2007 housing boom, 23% of mortgages were based on self certification, so called ‘liar loans’, and managed to shore up bad debt within the UK Mortage Industry.

But on Monday the FSA announced plans to ensure that strict vetting is to be brought into place and all incomes are to be verified, unlike previous self cert mortgages.

This can only be a good thing right? You should only borrow what you can comfortably afford to repay? I would think this goes without saying, but with so many of us eager to climb the property ladder has a little lie here and there really hurt?

Looking at the state of the UK’s financial markets today and subsequently its sub prime mortgage industry, I would agree that yes, and not before time.

This entry was posted on Wednesday, October 21st, 2009 at 1:15 pm and is filed under Housing Market, Mortgage, Mortgage Rates, Mortgages, house price, interest rates. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.