Long-term fixed-mortgages "cost prohibitive"
The costs associated with exiting a long-term fixed-rate mortgage arrangements render them less popular than they might be among consumers around the UK, it has been claimed.
According to the Council of Mortgage Lenders (CML), if long-term fixed-rate deals are to become genuinely attractive to British homeowners then the government will be required to make policy decision that make them less "cost-prohibitive".
However, the council has also suggested that there are advantages to agreeing a loan arrangement that lasts for 25 years particularly for people who are concerned at the prospect of borrowing a large sum of money.
In addition, long-term mortgage deals give consumers the flexibility to plan their finances for decades rather than just years or months at a time.
Earlier this week, the CML expressed its optimism that the cut in the base rat eof interest will ease the affordability constraints affecting first-time property buyers around the country.
© 2008 Adfero Ltd
Add to del.icio.us 
Add to Y!MyWeb 
Submit to Digg 
Stumble It
Subscribe to RSS news feedSwitchWise.com 2008. SwitchWise.com is a trading name of UK Power Limited and is a trademark owned by Switchwise Limited.
This site is intended for UK Residents only.
Compare gas suppliers | Compare electricity suppliers | Secured loans | Unsecured loans | Compare broadband | Compare Home Phone | Homeowner loans | Compare mortgages | Personal loans