Thanks - more thoughts

I recall when I first bought a property in 1991, I was asked to pay an insurance premium at a rate of “x per £000” on the amount of the mortgage that was greater than 75% of the property. It cost over £1000 as I recall – another cost to the mortgage.

At present, I can’t see how other mortgage providers will take on the riskier business without substantial cover. Its either that or not take on the business at all.

Of course the insurers will be recommended by the mortgage providers, and there will be little choice of policy – I can’t see this being an attractive market to be in at the moment and it has the whiff of another miss-selling scandal in the years ahead.

Going back to the NR plan – I can’t see how this will succeed in the current market. The whole thing is a complete mess, and the numbers quoted just another sound-bite if you ask me.

Posted By: KentonCanary, Apr 1, 09:41:14