Selecting the online mortgage that is most closely tailored to you is simply a matter of filling in a few questionnaires and ensuring that you understand the interface. In the modern day with the credit crisis and the difficulty in achieving a reasonable mortgage, it is not surprising to see more and more individuals utilizing online mortgages in a way to save time, money and be more efficient about the entire process.

Simeon Linstead, head of personal finance expert at uSwitch.com, the online price comparison and switching service, comments: “In just 12 months, this economic landslide has sent the consumer lending market into disarray. Our research has confirmed that both mortgage lending and unsecured loans are drying up by the day. For those with perfect credit records, it’s unlikely this will be an issue, but others it could be problematic. In response to this, it seems consumers are turning to credit card providers for extra cash. Whilst it’s good news that people can still access extra money if they need it, this is not a sustainable solution for the problem. Ultimately, this has had a huge knock on effect on the housing market.

“While rates are easing, criteria are not. The best mortgage rates are still available to those able to put down at least a 25 per cent deposit or who have this level of equity in their homes. First-time buyers without financial assistance from their parents will continue to struggle to get on the housing ladder. While there are glimmers of hope in the mortgage market, the housing market remains in the doldrums,” commented Melanie Bien of Savills Private Finance.

Oliver Gilmartin, Royal Institution of Chartered Surveyors (Rics) senior economist said: “The recent improvement in the monthly gross lending could offer some encouragement in what are typically slower summer months. While banks are still in the process of repairing their balance sheets and as the securitisation markets remain effectively closed, mortgage lending is unlikely to recover in any meaningful way.”

“On a £150,000 repayment mortgage, a £100 increase in fee equates to an additional 0.06 per cent increase in the rate,” said Darren Cook, of Moneyfacts.

“Therefore, in real terms a customer has only benefited from a net 0.09 per cent reduction in the average rate, as opposed to the full 0.15 per cent.”

“Within these averages, there is no fixed pattern. Some have reduced rates and increased charges; some have left rates at a high level; and others have changed fee structures,” Cook adds.

Speaking of Treasury plans for a bailout, “If they do it, they need to do it quickly,” RICS Chief Economist Simon Rubinsohn said in an interview today. “If they let things fester until year end, it would be really counterproductive.”

“If it looks like they can save some money in two to three months time, then people are going to wait,” said Steve Turner, a spokesman for the Home Builders Federation. “At the moment, that’s the last thing we want. We welcome this as a step but we need a decision and a speedy one. We don’t want it hanging about until November.”

British Gas and the Institute for Public Policy Research (IPPR) is calling for “the creation of new green mortgage packages by banks and energy companies to pay for the installation of energy saving technology”.

“We welcome the green streets initiative and its practical demonstration of what can be achieved,” said Ecology chief executive, Paul Ellis.

“Our C-Change mortgage borrowers are already greening their streets and making a direct contribution to reducing carbon emissions, while benefiting from long-term discounts which don’t rely on switching every couple of years. Ecology mortgages are truly green unlike carbon offset deals which are akin to closing the stable door after the carbon horse has bolted.”

“June was the worst month so far for buyer activity and the situation is worsened by a high cancellation rate due to difficulties with finance availability and a lack of buyer confidence,” RICS member Richard Powell said. “Sellers are reluctant to reduce prices and are under no real pressure to sell. Buyers are sitting and waiting. The net result is very few transactions”.

The Director of FairInvestment.co.uk, James Caldwell stated, “Mortgage rates have continued to rise over the last few months, despite the Bank of England base rate either remaining the same or being cut. However, what goes up must come down, as we are seeing with house prices so there may be some hope for those facing a remortgage in an increasingly unforgiving market.”

“There will be 240,000 households trying to renew their fixed deals this month,” says Louise Cuming at the price-comparison service Moneysupermarket.com. “These are made up of people coming to the end of three-year fixes from July 2005, when the average rate was 5.12 per cent, and those nearing the end of two-year fixes taken out when the figure was 5.18 per cent.”

“Two-year swap rates [the price at which banks lend to each other] dictate the future movement of fixed mortgages, and these have soared in recent weeks on the back of fears that the base rate will have to rise to keep inflation in check,” says Melanie Bien from broker Savills Private Finance. “This has led to lenders repricing fixed rates higher. The cost of two-year money has since fallen a little but two-year fixes continue to look expensive.”

The director of Consumer Policy at USwitch, Ann Robinson, stated, “There are also transparency issues at play. Advertising APRs which appear to be competitive but are then subsidised with a fee of anything up to £4,000 is neither transparent nor consumer friendly. In many cases, people might be better off with a slightly higher APR and a lower fee - at least this wouldn’t increase the actual size of the mortgage and cause them to pay additional interest on set up costs.

“In order to make an informed decision, people must ask the mortgage providers to provide details of the monthly repayments both with and without the fee added on to the mortgage. Consumers should also ask for figures to show the overall impact on the amount of interest paid.”

Cath Hearnden from the mortgage brokers My Mortgage Direct said: “The double whammy of interest rate rises and the end of low fixed-rate deals has seen mortgage repayments shoot up overnight for many homeowners. We are seeing increasing numbers of borrowers using an interest-only remortgage as a form of defence against the onslaught of rising repayments.”

David Black, Principal Consultant of Banking for Defaqto.com says: “The mortgage world is a completely different place from eighteen months ago as the wholesale funding model has largely dried up. We’ve seen low volumes of business accompanied by increases in rates and arrangement fees and a reduction in the amount that people can borrow. “