More signs of credit tightening.
Following yesterdays decision to abandon lending for 'buy-to-let' on newbuild flats by mortgage broker 'The Mortgage Works', the Portman Building Society, has today announced a similiar decision.
Along with the big banks agreeing to share data to prevent people from borrowing too much on credit cards from different providers, the removal of 0% credit card deals, and the introduction of balance transfer fees to deter the "rate tarts" it looks like the credit cycle may be turning and tightening is on the way.
What chance a credit crunch in the foreseeable future ?........................
Financial Times
Portman refuses to lend on buy-to-let new flats
By Jim Pickard,Property Correspondent. Published: December 7 2005 21:58 | Last updated: December 7 2005 21:58
The Portman Building Society on Wednesday became the first lender in the UK to refuse buy-to-let mortgages on new flats in a sign of growing fears about the stability of the sector.
The Portman, third largest buy-to-let lender in the UK, said it would avoid lending on new properties until "the market forces of supply and demand" had returned to equilibrium......