LV= warns of £30bn mortgage gap

Research by the group found 41% of the interest only borrowers who have no capital payment plans - equivalent to around 530,000 people with £30bn in loans - are relying on selling their home and using the proceeds to pay off their mortgage. However, with recent falls in property prices and further declines predicted, this strategy may be blocked for many people in the short to medium term. Mike Rogers, chief executive at LV= Group, says a previously booming property market led many people to bank on being able sell their home, use the proceeds to pay off the mortgage, and still have eno...