Brits ''tempted by five times salary mortgage''

Six out of ten Brits would consider taking out a mortgage that was up to five times their salary just to be able to get onto the property ladder, according to a new report.

Yorkshire Bank discovered this statistic which has worried debt groups who are concerned that people may potentially take on massive debts which are vastly unaffordable.

Joel Lewis, from the Consumer Credit Counselling Service, said: "Borrowers should bear in mind any unsecured credit that they already have and what surplus there will be after the mortgage payment and all other borrowing commitments are dealt with."

He added that credit card debt should be tackled before getting an expensive mortgage or at least making sure that you will be able to pay more than the minimum repayments in addition to mortgage repayments.

However the Council of Mortgage Lenders has reported that very few people actually take out such large mortgages and the average salary multiple for a mortgage is actually 3.29.


© Adfero Ltd