Where are the best interest rates for mortgages heading
Abbey feel most of their client base will come from the 3,835 people who are coming to an end on their current fixed rate deals.
Choosing a long term fixed rate mortgage would provide mortgage borrowers with financial security, Phil Cliff at Abbey Mortgages spoke further: ‘Whilst the May decision by the Bank of England was to maintain the base rate at five per cent, inflationary pressures mean that it is unlikely to fall again soon, and some commentators even think that inflation could lead to increasing mortgage rates.’
Abbey’s product, the five year fixed rate at 5.75% and 5.69% has seen to be the best mortgage deal. If you arrange it through broker John Charcol, there would be an arrangement fee of £1,499. The Maximum loan is 75 per cent of the property’s value and for a 90% LTV, the interest rate would then jump to 6.43 per cent, fixed for five years and all fee are equivalent.
Free Mortgage Enquiry