Scarborough launches specialist mortgages

Through the Scarborough Specialist Mortgages (SSM) brand it will offer people with adverse lending risks the chance to take out a mortgage, while claiming to give competitive rates.

“The new subsidiary is being launched in direct response to the social and demographic changes currently underway in the UK, where increasing levels of personal debt and customers with imperfect credit are becoming more commonplace,” said John Carrier, chief executive of Scarborough Building Society.

Non-conforming markets are growing in response to Britons’ debt problems, offering mortgages to those with poor credit ratings.

Although interest rates are often higher than regular mortgages, ventures such as Scarborough Specialist Mortgages will cater for this growing sector.

Last month the Council of Mortgage Lenders (CML) said that debt helping to drive the non-conforming mortgage market to grow at six times the speed of the regular market.