The main focus of mortgage news in the weekend’s financial press was an increase in rates. The Times reported an increase on the average 2 year fixed rate of 0.09%, and brokers warned that, while borrowers should not panic, it is a sign that rates will continue to climb as we get closer to a time when the Bank of England will increase its base rate. The Independent on Sunday highlighted deals that are still available under 2%.
The Sunday Times looked at the impact of tough new lending rules following the Financial Conduct Authority’s Mortgage Market Review (MMR), and revealed that homebuyers are seeing their mortgage offers cut by thousands. Brokers suggested that widespread confusion over how to interpret the new affordability rules has lead to banks applying excessive caution.
Elsewhere the Sunday Express highlighted the pressure tactics buyers are experiencing at a time when housing stock is limited, while the Sunday Telegraph reported on the launch of the first Help to Buy 10 year fix, through the Leeds Building Society.