FSA 'must reduce regulations on mortgage lenders'

It has been claimed that if the mortgage market is going to recover in the UK, the Financial Services Authority (FSA) must reduce some of the regulations currently imposed upon lenders.

This comment was made by technical manager at mortgageforce.co.uk Katie Tucker and may be of interest to those looking at a house for sale in Exeter.

She believes that if these regulations are relaxed, lenders will be able to employ and train specialist underwriters who can assess each borrower on an individual basis and decide on the level of risk.

"While we don't want to repeat the over-accommodating lending that happened in the past, lenders have already altered their criteria significantly to reduce their risk," she stated.

Ms Tucker's comments came after the FSA announced that self-cert mortgages are to be banned, as are arrears charges when a borrower is already paying. It has also been established that buy-to-let lending should come under the management of the FSA.