Mortgage lenders cutting rates
At the start of November, the Bank of England voted to keep the Base Rate at 5.25% for the second vote in a row. Following this, many lenders have dropped their rates leading to what some are calling a “mini rate war”*. Adam Nanson from Your Mortgage Expert comments on this trend of Mortgage Lenders cutting rates and what this means for home owners. Is now a good time to switch your mortgage or should you wait to see if rates continue to drop?
What is happening with Mortgage Rates this month?
“Finally we have some positive news for the mortgage markets. After months of doom and gloom, it’s encouraging to see things go in the right direction.
“Many of the high street lenders have dropped rates in the last few weeks**. In fact, one of the main high street lenders has announced a 2 year fix rate deal which has a rate below 5% for the first time since June. This has led to some industry experts predicting that rates could drop below 4.5% within weeks*. And some are saying rates might drop to below 4% by the end of the year***.
Is now a good time to fix my mortgage or should I wait to see if rates continue to drop?
“Whilst many people are predicting that rates will continue to go down, none of us knows what is going to happen with rates. So I would encourage you to review your options now, rather than waiting.
“All we need is for inflation not to behave as expected or international events to impact on the UK financial situation. And we could see rates rising again.
“What I’m advising my clients is – hope that rates will continue to fall – but lock in your rate now in case they don’t. We can then review your mortgage rate again if the downward trend does continue.
“With rates lower than they’ve been for a while, many of my clients are choosing to lock in a low rate now if their current deal is coming to an end within the next six months. Similarly, if you’re looking to buy a house, we can apply for a mortgage offer now. But if rates drop before you complete then we can always review your options.
“As your mortgage broker, we love to work hard for you. And if that means reviewing your rate several times, then that’s what we will do.”
We are not like other brokers. Our small, friendly team has over 80 years of experience in the mortgage and protection industry. We have over 70 five star reviews on Google and we have over 90 verified reviews on VouchedFor. And we would love to work hard for you.
We have access to thousands of mortgage products, many of which are only available through brokers. There are a very small number of lenders who don’t work with brokers. And, if you’re better off going with them, we will let you know.
To speak us about mortgage lenders cutting rates and what this means for your mortgage ring Your Mortgage Expert now on 01722 322683. Or visit our website and complete a contact us form and let us know when we can call you back.
The information contained within this article was correct at the time of publication. It is intended for information only and should not be used as a basis for purchasing any products. We cannot be held responsible for something that was correct at the time but subsequently changes or goes out of date. For further information, contact Your Mortgage Expert on 01722 322683.
YOU MAY HAVE TO PAY AN EARLY REPAYMENT CHARGE TO YOUR EXISTING LENDER IF YOU REMORTGAGE.
A MORTGAGE IS A LOAN SECURED AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE OR ANY OTHER DEBT SECURED ON IT.
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