'Euromortgage' plan for borrowers

[hyperD]

http://news.bbc.co.uk/1/hi/business/4699879.stm

Homebuyers could be able to shop across Europe for the best mortgage deal, under plans being considered by the European Commission.

But one leading UK mortgage expert cast doubt on whether UK consumers would benefit from taking out mortgages with lenders based in other EU countries.

"The UK mortgage market is far and away the most competitive in Europe," said Ray Boulger, technical director at mortgage adviser John Charcol.


Would this proposal enable us to have lower interest rates on mortgages? Is this why the mortgage guys are now bleating with the threat of global competition?

[wendigo100]

John Charcol is on a nice little earner.

[BlasterBates]

That's cool

[tim123]

IME charcol are right. Whilst base interest rates may be lower, margins and charges are much higher. It is unlikely that someone with a competitive mortgage rate in the Uk will achieve a lower rate with a European lender, and they'll have the exchange rate risk as well. I can't see this as being of any use to people outside the Euro zone in the short to medium term.

tim