Over the past five years 1.57 million mortgage applications worth £227 billion or have been rejected, according to research from Castle Trust.
The average value of a rejected mortgage was £144,600. London has been the worst affected area where 450,000 applications – 29 per cent of the national total – were rejected. This is followed by the North West where 191,000 applications were denied - 12 per cent of the national total. The research found that of those interviewed 60 per cent of rejections were for first-time buyers, 22 per cent wanted to move to another home, 11 per cent were for re-mortgages, 3 per cent were to take a further advance on an existing mortgage Seven out of 10 (71 per cent) of IFAs believe that because banks now have to hold more in capital reserves, the amount banks will be willing to lend will be lower than historical levels.
David Sansome of Sansome & George said: “This research shows the need for professional mortgage advice and at Sansome & George our mortgage advisers from the Mortgage Advice Bureau will be only too pleased to assist.”
