Why the spike? Is it just that other lenders have closed the door on these types of mortgages, or is there a type of borrower that really needs cash right now? Or has there been an element of traditional bank lending which involved lying which has now been clamped down on?
Oh dear - AAM is going to be flooded with the ‘bought off plans/bank pulled financing’ threads.
My guess would be that people have turned to self-cert because they have bought off plan and their traditional mortgage provider isn’t stumping up. I may be unfair on GE Money, but in addition to self-certifying income, I understand the valuations are based on the contracted amount for the property (as opposed to what the bank thinks it is worth). i.e. the contracted price is what the property is worth.