Further responses to pre-Budget report regarding mortgages

Date:Wednesday 26th November 2008
Author: Rachel Fletcher

The Council of Mortgage Lenders (CML) and Smartlandlord.co.uk have commented on what the pre-Budget report means for mortgages and letting.

Michael Coogan, director general of the CML, said the announcements in the report were "helpful, if modest".

In a statement, the CML welcomed the three-month delay for lenders before they can start taking action to repossess property, but warned that "it may postpone rather than change a lender's decision".

Furthermore, it called for more assistance to the Income Support for Mortgage Interest scheme, noting that unemployment is on the rise.

Meanwhile, property investment portal Smartlandlord.co.uk said the three-month negotiation period "will definitely help buy-to-let landlords who are struggling with increased voids as more properties are coming onto the lettings market due to a slump in property sales".

Keshav Thukaram, managing director, also noted that the government's drive to have lenders pass interest rates cuts on to landlords was the biggest perk for landlords contained within the report.