First-Time Buyers Not Doomed
There is hope for first-time home buyers in spite of more stringent lending criteria, according to one report.Moneyfacts.co.uk suggests that the current economic situation may actually benefit those planning to buy their first home.
Buyers hoping to get into home ownership may need to make a larger deposit or get a third-party guarantee to get a loan.
Darren Cook, head of mortgages at Moneyfacts.co.uk, says these terms may actually work to the benefit of buyers as they will keep them from getting in over their heads.
Mr. Cook suggests that lenders are still willing to work with first-time buyers, they are simply being more cautious in the loans they fund.
Eleven mortgage lenders have cut the amount of their largest loan amount since December of last year, according to data collected by Moneyfacts.co.uk.