Competitive mortgage deals 'are out there'

Mortgage borrowers should be able to access competitive deals, despite the current financial climate brought on by the credit crunch, according to a survey.

Research by mform.co.uk has revealed that the difference in interest rates between people who are borrowing 90 per cent of their property value and people who are borrowing 50 per cent is just 0.04 per cent.

Francis Ghiloni, mform.co.uk''s marketing and business development director, said: "Mortgage customers are undoubtedly facing challenging times, but they are not as bleak as is being painted."

He added that people who are coming off two to five year fixed-rate deals will face "higher monthly payments" but they will have benefited from house price increases".

In related news the number of different types of mortgages has fallen by almost two-thirds since summer 2007, according to a latest report.

Research from moneyfacts has suggested that the number of mortgage deals on offer has fallen from 15,599 to 5,725 since July.

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