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Foundation Home Loans announcement

ended 26. May 2023

This morning, Foundation Home Loans announced: "Really sorry to be the bearer of bad news but I have just been informed that are we also withdrawing of all our Special products for both BTL & residential today. All DIPs on the Special products will need to be submitted by the end of today (Friday 26th May) and all FMAs will need to be submitted by close of business on Thursday 1st June. No exceptions. We will have no products available from 5:30pm today until Wednesday 31st May. UK newswire, Newspage, asked broker for their thoughts. 

4 responses from the Newspage community

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Justin Moy
Managing Director at EHF Mortgages
More lenders that are heavily reliant upon the Swap rates to fund their products are pulling rates with little or no notice. Many of these lenders are for the specialist markets, rather than for the main residential clients, so the real effect is quite small, but with most of the high street already repriced this week, it has been a rough time for the mortgage market.
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Katy Eatenton
Mortgage & Protection Specialist at Eatenton Finance
What a time to be an adviser. The panic that emails like this causes in brokers and clients alike is horrible. You cannot give clients proper time to consider product recommendations when there is a deadline to beat before the rate increases by up to 0.45% or disappears full stop.
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Austyn Johnson
Founder at Mortgages For Actors
Swap rates go up, so do mortgage rates especially the specialists like foundation.
They will be back but worth higher rates.
The new budget will need to consider this
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Rob Gill
Managing Director at Altura Mortgage Finance
We appear to be entering a credit crunch affecting smaller, specialist lenders with several withdrawing products citing volatility to credit markets after Tuesday's inflation figures. For the time being at least the impact is restricted to a handful of smaller lenders, although brokers and borrowers alike are keeping a close eye on the wider market for any signs of contagion.