"Furloughed workers still need access to mortgage products and they shouldn’t assume that their circumstances mean they are locked out of the mortgage market."
In October, Legal & General’s SmartrCriteria tool, which helps advisers quickly determine which lenders would consider a particular mortgage applicant, recorded 175 searches for furlough-friendly products. However, in November, this increased by 230% to 577 searches.
Kevin Roberts, director of Legal & General Mortgage Club, commented: “Following the Chancellor’s announcement last month confirming the Government’s commitment to extend the furlough scheme, we are seeing more borrowers turn to the expertise of mortgage advisers to find furlough-friendly mortgages. Our latest findings from SmartrCriteria suggest the numbers of people looking for these products increased significantly in response to the extension of the scheme. Other incentives such as the stamp duty holiday have also made this an attractive time for furloughed workers to press ahead with their homebuying plans as they look to potentially save thousands in tax before 31st March.”
“Despite ongoing disruption caused by the coronavirus crisis, the mortgage market remains open to all types of borrowers. Furloughed workers still need access to mortgage products and they shouldn’t assume that their circumstances mean they are locked out of the mortgage market. There are options and speaking to an independent mortgage adviser who can help navigate the available products should be everyone’s first step.”
