This affects YOU directly my friend.

Find out in this FREE Webinar How the new proposed rules by the FSA on Self Certification and “Liar Loans” affect YOU:

https://www2.gotomeeting.com/register/638838907

1)  Anyone recently self-employed or who cannot prove their income could be excluded from getting a mortgage under proposals announced by the FSA - UK  City regulator.

Will you be able to get a mortgage if these rules are implemented?

2)  But self-cert and liar loans will be BANNED UNDER THE PROPOSALS - even when the recession ends. And with unemployment at a high, many formerly employed workers will have turned to a self-employment  over recent months and WILL NOT BE ABLE TO QUALIFY FOR A MORTGAGE.

The FSA’s proposals will be implemented next year, if finalised - As property investors these Rules will AFFECT YOUR PROPERTY BUSINESS as experts suggest the plans mean the current tight lending criteria could be here to stay.

Even without the planned changes, borrowers with unverifiable income will struggle to get a mortgage and finance ANY property deal and If you cannot finance deals your business is dead!

But self-cert loans will be banned outright under the measures, even when the recession ends. .

The FSA is effectively turning the clock back 20 years to the days when you needed to show bank statements, proof of deposit and proof of income - How many people do you know that can afford to buy a property and PROVE THEIR INCOME to qualify for a mortgage on a property valued at Just £300,000 without having a VERY LARGE DEPOSIT!

Here’s what the possible changes mean for you:

If I’m self-employed

If you have at least three years’ accounts and/or tax returns you won’t generally be disadvantaged. Most lenders consider this as enough to prove your income, though you’ll need to keep full records.

However, if you have fewer than three years’ accounts, depending on the lender, you may not have the necessary documents to prove your income, which could exclude you from the market.

If I have an irregular income

Whether you are a contract worker or have multiple income sources, you’ll be in the same boat as the self-employed: if you have three years’ accounts you’re no worse off, otherwise you’ll have to hope lenders alter their policies.

If I earn a regular income from an employer

The changes will have less impact but you’ll still need to keep good records of your finances to prove your income.  It could also take a little longer to get a decision on your application as lenders will need to make more manual decisions rather than using automated systems.

If I have a bad credit history or I’m borrowing a large proportion of my home’s value

If just one of the above applies to you, you’ll be no worse off than at present. However, as things stand, those with a poor credit history will struggle to get a mortgage.

I think you can forget about getting a mortgage if you were recently bankrupt or if you’ve a particularly poor credit history.

If I’m a high spender

Your ability to repay will be assessed on your disposable income after all expenditure. This could go as far as having to declare how much you spend on food, clothes and drink and how often you go on holiday.

The more you spend, the less likely you are to get a mortgage. The days of borrowing a multiple of your salary could soon be over (though many lenders have already abandoned this method).

It will be much harder to get a residential mortgage for a property to live in and the FSA proposals may be extended to Buy to Let investments.

All this means much higher deposits and your return on investment will be affected.

Is there a better way to invest in property?

Is there a better way to generate a monthly cash flow income - just like rental property - but without having to qualify for mortgages, manage tenants and avoid the risk of not being able to fund future purchases by these proposed changes?

Can you get yields in excess of 12% pa without buying a single property and yet enjoy the upside of property investment WITHOUT ANY management problems?

To find out how you can benefit from these investments join us a free webinar tonight:

https://www2.gotomeeting.com/register/638838907

We’ll See You At 7pm Tonight,