New mortgage laws to cost Homebuyers of the future are to be protected by a raft of new mortgage rules designed to make information easier to understand and mortgage sellers more responsible, but it will cost them. The FSA estimates that the new regulations will cost the mortgage industry a one off 53m and between 30m and 45m a year after that. If this is passed directly onto consumers it would equate to a monthly increase of between 2 and 2.70. The new laws will not come into effect until next year, but they have already drawn criticism from the mortgage industry, which is concerned that they are too complex and place an unfair burden of responsibility on mortgage lenders.
Lenders book much of their business through intermediaries.
These proposals would make lenders responsible for the quality of early information provided to all their customers, and not just those who deal direct.