Interest rate cuts have had a severe impact on both savers and borrowers...
Interest rate cuts have had a severe impact on both savers and borrowers, it has been claimed.
According to new research by the Building Societies' Association (BSA), an increasing number of would-be homeowners are concerned about being able to obtain a large enough mortgage.
The BSA's Property Tracker survey found that while just 37 per cent of people thought keeping up with monthly repayments was a barrier to home ownership in December 2008 – down from 70 per cent last June – 56 per cent felt mortgage availability was an issue – up from 49 per cent during the same period.
Adrian Coles, director-general of the BSA, said: "So mortgage availability, rather than the cost of mortgages, has become a more pressing issue over the last few months.
"This suggests that what is important to potential borrowers is maintaining the flow of mortgage."
