Borrowers outline frustrations with lenders

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38% of UK homebuyers have had a property purchase fall through due to mortgage delays, according to new research by Butterfield Mortgages.

The specialist mortgage lender commissioned an independent survey of 690 UK mortgage customers. It found just over half of respondents (51%) believe the process of securing a mortgage is too slow, while 69% consider it a stressful experience.

Butterfield Mortgages said its study highlighted the value mortgage customers place on having the support of a good lender, with 65% believing it is key to succeeding in the competitive market.

The research also showed a desire among borrowers for more flexibility from lenders, with 59% saying mortgage providers rely too heavily on strict and rigid criteria when assessing applicant’s eligibility.

In addition, the study found 48% of mortgage customers believe lenders do not provide adequate support to borrowers once the loan has been delivered.

Alpa Bhakta, CEO of Butterfield Mortgages, said: “The research has uncovered concerns among mortgage customers with the levels of efficiency and customer care they are receiving from lenders, which should serve as a clear call to action for mortgage providers across the UK.

“Positively, the research shows that borrowers can see true value in having the support of attentive lenders they can rely on to help navigate the complexities of the property market.

“As we emerge from the pandemic and buyers face a competitive market, there is evidently a need for greater flexibility and better communication – with prospective borrowers and existing customers alike. Making such improvements will not only improve support for homebuyers, but it will also rebuild trust with mortgage customers.”

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