New research from Moneyfacts.co.uk has revealed the importance of consulting a mortgage broker when looking for the latest bad credit remortgage, as according to its study some two thirds of all sub-prime mortgages have vanished from the market in the past six months.

In October Moneyfacts revealed that there had been a 40 per cent drop in the number of residential or buy-to-let products available since July, and now the overall falls over a six month period are equivalent to 63 per cent and 89 per cent respectively.

The financial website added that even existing products had seen rates increased and more restrictive criteria.

"If the market fails to recover in the longer term, borrowers coming off a sub prime fixed term deal in the next year or two could be placed in a difficult position, especially if their financial position has not improved sufficiently to allow them back into the prime market," advised Moneyfacts.co.uk analyst Julia Harris.

Borrowers could receive some respite in the coming days as the Bank of England prepares to make its interest rate decision for this month.


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