View more on these topics

Imla says seller&#39s packs will cost time and money

The Intermediary Mortgage Lenders&#39 Association says home seller&#39s packs will raise costs and fail to improve consumer understanding.

The Government sent out details of the proposed packs last week. Imla chairman John Heron says the plans have changed little since the original scheme was unveiled despite extensive feedback from the industry warn- ing the Government of weaknesses in the project.

He says the packs, which will have to be offered to buyers by all sellers, rely on outdated technology and fail to take advantage of improvements made to the housebuying process. Imla claims the packs could lead to longer transaction times and higher costs.

It particularly points out that lenders will not be prepared to rely on the home condition report – a survey supplied by the seller.

Heron says: “The fundamental concerns we expressed in the original consultation have not been addressed. There is a real danger that this pack will increase costs and fail to improve transaction times or consumer understanding.”

Heron is also calling for the FSA to treat advisers consistently across all product areas. He says there will be confusion if the FSA does not create clear parallels between an adviser who is seen as independent in the sale of investment products and one who is considered independent in the sale of mortgages.

He says: “The independent label is a very valuable one for mortgage advisers. Customers have an implicit understanding that independent advice represents a gold standard and this perception should be supported and protected.”

Recommended

Framlington &#39knockout&#39 transfer deal

Framlington is offering what it is calling a “knockout transfer deal” for May, allowing investors to transfer their Peps and Isas into four funds managed by star fund managers Nigel Thomas and George Luckraft for no initial charge. It is offering 1.5 per cent up-front commission to IFAs during May, with 0.5 per cent a […]

Opportunities in Japan says Pictet

Investment opportunities in Japan for those prepared to searchits depressing macro-economic climate could turn out to be a gold mine according Pictet Asset Management.Pictet Asset Management head of Japanese equities Richard Heelis, says that despite a 20 year low in equities &#39there&#39s nothing quite like a weak market to stimulate a positive response&#39. He underlines […]

Zurich Financial Services – Zurich Guaranteed Account

Friday, 11 April 2003 Type: Capital protected bond Aim: Growth linked to the performance of the FTSE 100 index Minimum-maximum investment: £2,500-£250,000 Term: Five years six months Guarantee: Original capital returned in full regardless of performance in the index Return: Up to 100% growth at end of the term or 30% growth at end of […]

Chelsea site claims DIP in five minutes

Chelsea Building Society is setting up a mortgage intermediary website which it claims can provide an adviser with a decision in principle in five minutes.The site has been developed over the last 12 months and aims to provide a simple and speedy application process for mortgages and allow advisers to review the status of cases.Chelsea […]

US: mid-year review and outlook

By Felix Wintle, Manager of the Neptune US Opportunities Fund H1 2014 Economic data: after last year’s strength, economic data has disappointed. Indeed, the economy contracted 2.9 per cent in the first three months of the year — the US economy’s worst performance for five years. However, rather than a symptom of underlying economic weakness or […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment