It is expected when the Bank of England’s policy committee meet in May that they will agree to increase interest rates.
Since the beginning of March a number of Lenders including Halifax, Nationwide Building Society, Santander and NatWest have increased their rates on 2 Year, 3 Year and 5 Year products.
The effect of an increase by the Bank of England will probably mean that Fixed rates will increase even more meaning the costs of Mortgage payments increasing again.
There are a large number of Homeowners who have a mortgage who are sitting on the Standard Variable rate which could range from 3.99% to 5.49%.
This generally means that they are paying way too much for their mortgage.
Lenders will not be volunteering this information to their mortgage customers.
So what options are available to property owners with a mortgage ?
If you are coming to the end of a fixed rate or Tracker rate then it is vitally important that you start looking at what options are available to you. – eg. another fixed rate.
If you go to your existing lender they will only be able to tell you about what products that they can offer you from their existing client product range. This is generally higher than what they would offer if you were a new customer.
Using a Mortgage Broker
You need to ensure that the Broker who you speak with is a Whole of Market broker and not tied to a number of lenders.
The Broker then can assess your personal circumstances and see what your current lender is prepared to offer and compare it with the other lenders in the market.
It may be the case that it is best to stay with your existing lender and a Whole of Market Broker will be able to arrange this for you to save you time and effort. Alternatively it may be better for you to move to another lender and this might be for a variety of reasons like additional borrowing for home improvements or debt consolidation.
Whatever the reason the Mortgage Broker should be able to assist.
Manchester Mortgages has been arranging mortgages from the Whole of the Market for a variety of clients all with different circumstances across Greater Manchester for in excess of 17 years. The company has a wealth of experience and can speak with you at your convenience about what your options are. Doing nothing generally means you will be paying more than you need to.
So if you are within 6 months of your current deal ending give us a call on 0161 706 0242 and speak with our experienced team of advisers and see what the best options are for you. Its only going to cost you the price of a phone call which could save you hundreds of Pounds.