Mortgage Rate Changes
Most who have been sitting around waiting for the Bank of England to drop the interest rate, which is being predicted, there has been a bit of a surprise coming from the way of those who borrow the money to those who wish to buy a new home, they have jumped in before the Bank of England and cut the interest rate charges, leaving all the interested parties who are wanting to but a new home, with an unexpected bonus and gives them some choices and things to think about.
The first borrower to jump, was the Nationwide, who dropped they’re mortgage interest rates to 4.39% on a two year fixed rate deal, though with them jumping first it has led to some falling suit and cutting they’re two year fixed rate deals, to a lower rate than the Nationwide, The Halifax and Skipton Building Society have entered the fray with an interest charge of 4.29%, though the Halifax’s offer is for both new purchasers and those who are re-mortgaging.
Others are now following suit, though not at the level of the others that have been mentioned, those include First Direct (4.89%) and the Chelsea Building Society have decided to re-address the whole of the way that they’re loans are set out and it is all not going to stop here, as another rate cut is expected to take the interest rate charges on mortgages to the 4.5% level on the base rate.
It is being advised that if you are thinking of borrowing, then you should take into account the financial situation that you find yourself in at the present moment and not try to think ahead as to wither the interest rates will fall further and advising those who are young first time buyers, to settle on a fixed rate now, were the more mature and financially astute customers are the ones who can afford to take a chance on the rates maybe taking a jump back up, as they can afford to cover the extra payments that this would occur.
