This week’s headlines: LSL appoints Nowosad as interim managing director and up to 100,000 unsold rental homes could be left empty.
Check out these and other industry updates below:
Global and Pure Money are raising rates by up to 35bps
Nationwide and Virgin Money raised select mortgage rates by 35 basis points from 16 July, reversing some of the recent rate cuts as funding costs rose.
Industry experts say higher exchange rates, driven by renewed tensions in the country, have forced lenders to raise prices again, although mortgage rates remain below the highs seen earlier this year.
LSL appoints Noosad as interim managing director
LSL Financial Services has appointed Piotr Nowosad as interim director while it searches for a full-time replacement for Richard Howells, who will leave at the end of the month.
Nowosad will oversee Primis, TMA Mortgage Club, Novium and Linear, focusing on improving advisor productivity, investing in technology and strengthening relationships across the business.
Barclays will increase rates by up to 34bps
Barclays, Coventry Building Society and Gen H are raising prices on selected residential properties as higher exchange rates push up finance costs, although Barclays is also reducing buy-to-let deals by up to 15 basis points.
Industry experts say recent political tensions have slowed the pace of mortgage rate cuts, with more lenders expected to call again in the coming weeks.
Up to 100,000 unsold rental homes could be left empty: Hamptons
The pace at which homeowners are selling rental properties has slowed, as homeowner purchases outpaced sales for the first time since 2019, according to Hamptons.
However, the agency warns that the Tenants’ Rights Act could prevent up to 100,000 unsold homes from returning to the rental market due to new re-letting restrictions, while rents continue to rise as market conditions improve for homeowners.
NatWest to raise fixed rates as Middle East tensions bite
NatWest is raising rates on selected fixed-rate mortgages by 17 basis points from 17 July, joining Nationwide, Virgin Money, Barclays, Coventry Building Society and Gen H in raising rates as finance costs rise.
Industry experts say rising exchange rates, driven by renewed political uncertainty, have ended the latest wave of mortgage cuts, with some borrowers facing much higher monthly payments.
Members of Parliament warned the industry that it could have a major impact on the Treasury’s plan
MPs have criticized the Financial Inclusion Strategy as incomplete, warning that it lacks key information about who is financially excluded and relies too much on industry voluntary work without clear measures of success.
The Treasury Committee also raised concerns that industry voices may have more influence than consumer groups, urging ministers to strengthen the role of people with lived experience in shaping future policy.
Barratt Redrow calls on Burnham to cut taxes and open up housing delivery
Barratt Redrow has called on the next Prime Minister to cut taxes and reduce regulation to improve housing delivery, warning that rising costs and policy pressures are affecting efficiency.
The housebuilder also announced a £400m shareholder return plan after completing 17,667 homes in a year, while warning that global uncertainty could push up building costs.
Fixed rates to see biggest monthly cuts from October 2024: Moneyfacts
Average fixed mortgage rates fell for the second month in a row, with two- and five-year deals recording their biggest monthly declines since October 2024, according to Moneyfacts.
The availability of mortgages has also improved, with 976 new products since May, although experts warn the country’s renewed uncertainty could delay further declines.
Nationwide it reduces joint income eligibility to £75k
Nationally it has lowered the income limit so that joint applicants can get up to six times more loans, reducing the requirement from £100,000 to £75,000.
The move comes shortly after the lender hiked mortgage rates, with experts saying the change reflects growing competition among lenders to improve borrowers’ affordability.
Market Harborough acquires £120m portfolio from Gen H
Market Harborough Building Society has acquired a £120m residential portfolio from Gen H, which includes first-time buyers and borrowers in complex situations.
The acquisition supports Market Harborough’s growth strategy, while Gen H says the deal ensures its customers stay with a lender that shares its focus on responsible lending and fair value.
