Post Office to make mortgages manageable

post office mortgages

A team of specialist mortgage advisers are set to be employed by the Post Office as it strengthens its bid be considered a 'Top 10 lender'.

Solihull, Birmingham, Luton, Norwich and Walsall will initially be home to seven specialists under the pilot scheme.

Services will be available in larger branches of the Post Office's network of 11,800 outlets, and will be rolled out over the next few months.

It is hoped that, eventually, the number of advisers employed to assist customers with the Post Office's products will reach a triple digit number.

How can I apply?

Post Office mortgage customers have, until now, only been able to apply for a home loan either online or on the telephone.

Mortgages have been offered by the provider since 2009.

Those applying for a Post Office mortgage can have a deposit reaching as low as 10%, and it has plans to "sharpen" up its loan portfolio in the future.

Savings and credit cards are offered by the Post Office, along with mortgages as part of a venture with the Bank of Ireland.

The number of mortgage customers currently on the Post Office's books was not revealed, neither was the number of customers it plans to take on.

First-time buyers benefit

post office mortgagesHead of Post Office mortgages, Mike Cook, said the provider wishes to build on its reputation as a trusted outlet.

He said it would take years to achieve the ambition of becoming one of the Top 10 biggest lenders, and that there were no specific targets.

First-time buyers could be helped by the plans, as many have found they are stuck renting property.

Recently, there have been signs of a mortgage war between lenders who aim to attract borrowers with large deposits who are seen as a smaller risk.

However, those with smaller deposits are expected to have a harder time seeking a deal in the next few months due to the weak economy.

Mr Cook said: "Last year over 40% of our borrowers were first-time buyers, which is something we are always open to."

The network's online and phone services will remain in place.