Well, it finally happened. After 10 years of the lowest base rate seen since Bank records began in 1694 the Bank of England base rate has seen a small rise of 0.25%.
For many borrowers in the market, this will be the 1st time they have seen rates actually move upwards. All I would say at this point in the words of a famous sit com when rates were at 10% is “Don’t panic Mr Mainwaring”. There are still plenty of attractive fixed rates out there and it would be an opportune time to at least take a look at them.
Mortgages are not an exact science, what is good for one client is not necessarily good for the next. When deciding on whether to fix or float, we need to look at each client’s circumstances, their view on risk and what they need from the mortgage. Yes, the argument for fixing your mortgage has just grown stronger but, if greater flexibility is required then floating may also work. There may even be the option of splitting the mortgage so that part is fixed and part floating.
As expected, there has already been some changes in the lenders rates with the rise passed on to clients who have variable mortgages or one sort or another. Although some fixed rates have also risen, there will still be some lenders keen to meet there annual targets so will be pricing accordingly.
With rates changing frequently, there is never a better argument than to pick a good broker to ensure you are getting the most up to date advice.
A remortgage is the process of switching your mortgage to a different lender without moving home. It is also the ideal opportunity to review financial circumstances and ensure that what you put in place when you took out the mortgage is still the right thing for you. The choice of lenders may have increased since you took the mortgage so, it is always best advice to review your circumstances on a regular basis.

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Contact Darren Littler mortgages to discuss your mortgage or remortgage requirements. We will assist you in finding the best solution.