Chancellor's 10-year mortgages not helping first time buyers

Alistair Darling hopes more long-term mortgages of 10 to 25 years will give homebuyers more financial stability and improve the long-term affordability of housing, but his plans have received considerable criticism from both lenders and brokers. Stroud & Swindon says the Chancellor’s plans are flawed and could cost borrowers up to £10,000 more over a ten-year period. Research by the provider compared the cost of an average ten-year fixed rate deal from 1997 to 2007 with a series of five two-year fixed rates and variable rate mortgages over the same period. In 1997, an average ten-year de...