Lenders rejecting 80% of mortgage applications

MORE than half of all mortgage brokers claim lenders are rejecting up to eight out of 10 applications for home loans.

The main reasons clients were refused mortgages was because 35% of applicants had no savings, 32% did not qualify for the amount required, there were fears over job security for 29% while another 29% had a bad credit history.

The Professional Insurance Brokers Association (PIBA) survey found more than three-quarters (77%) of brokers also believe the credit freeze is worse or much worse than last year, with less than a fifth feeling there has been no change.