The financial press reported this weekend on the gradual increase in rates seen during recent weeks. Experts in the Times and Financial Times reported that a rise in funding rates in the first couple of months of this year means that lenders are looking to increase their profit margin, and further cuts are unlikely for the foreseeable future. Borrowers looking to switch their mortgage are urged to take action now and grab themselves a low fixed rate.
For those looking to take advantage of the low base rate, the Mail on Sunday revealed that tracker mortgage are coming back to the fore, with high street lenders releasing deals recently at less than 1.5%. Brokers suggested that this type of deal might suit experienced borrowers who want access to lower interest rates and also more flexible terms, and can afford an increase in their monthly repayments if rates begin to move upwards.
Elsewhere, The Guardian looked at different groups of borrowers who have been affected by tougher restrictions following last year’s Mortgage Market Review, including older borrowers, the self-employed and homeowners incurring childcare costs.
The Sunday Times meanwhile highlighted the different options available to First Time Buyers struggling to get onto the property ladder. Guarantor mortgages - while not as popular with lenders – are still available, alongside Family Assistance schemes, and Government initiatives such as Help to Buy.
YOUR HOME OR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE