Sub-prime mortgage borrowers are facing large increases in their monthly mortgage payments if they cannot secure a new deal, according to Moneyfacts.co.uk.
The number of mortgages available for sub-prime homeowners has plummeted by 85% over the past year, it says, prompting fears many may risk financial hardship or even repossession. Moneyfacts.co.uk’s latest analysis of the sub-prime market reveals the number of lenders operating in the sector has fallen by almost two thirds, from 36 in July 2007 to just 13 today. The total number of sub-prime mortgage products has fallen from 8,148 to 1,252 during the same period. The reduction in product choice reflects a changed attitude to risk among UK lenders following the credit crunch in the late su...
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