Long-term mortgages 'still in demand'

A new study has found that there is still a strong demand for longer-term fixed-rate mortgage deals.

Figures from Abbey''s Remortgage Index have shown that 27 per cent of people would choose a five-year deal if they remortgaged tomorrow.

The numbers of people who would choose a ten or fifteen year mortgage deal rose to 11 per cent, which was equal to the numbers who would opt for a three year deal.

Phil Cliff, director of Abbey Mortgages, said the results of the index gave a "really interesting insight" into the mindset of homeowners.

"The credit crunch seems to have instilled a longer-term vision among homeowners who want to make sure they are well and truly out of the ''crunch'' period when they remortgage again," he added.

Liverpool Victoria recently launched a new lifetime mortgage for homeowners aged 60-90 years old.

Fairinvestment.com reports that the Flexible Lifetime Mortgage has a 15-year guarantee on the amount agreed.

back