Lenders urged to be consistent

Mortgage lenders in the UK have been urged to be consistent by creating guidelines on the minimum loan-to-value that they can provide to borrowers.

Jeremy Leaf, a spokesman for the Royal Institute of Chartered Surveyors (RICS), has stated that finance is available for those looking to buy a home, but said inconsistencies are sending "a difficult message to prospective purchasers".

Talking to BBC Radio 5 Live''s Wake Up To Money show, he said that if a lender that a credit-worthy consumer has been with for many years refuses to give out a loan, it has an effect on a buyer''s confidence.

"What I would like to see is some consistency return, even if there was a level of say 80 per cent or 85 per cent, so people could save up and they would know that when they hit that button that there was a good chance of them getting a mortgage," he said.

Recent research by the Intermediary Mortgages Lenders Association found that providers in the UK are confident of avoiding a recession.

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