Well, today the financial news is all a buzz about mortgage rates. Overall rates have fallen in the past year:

Figures released today [20 Jan] from Mortgage Brain’s quarterly product data analysis show that mortgage rates tumbled by as much as 32% during the past 12 months.

Elsewhere, Leeds Building Society has launched new two-year, fixed-rate mortgages starting at 1.79%. These are for loans up to 65% LTV (Loan to Value).

For higher LTV products, some lenders are starting to offer 95% loans at below 5%. Hinkley and Rugby have dropped their 95% rate outside of the Help to Buy Scheme.

The market is certainly warm now, with lenders competing on range, suitability and price. All this increased choice makes shopping around more complicated, but that is definitely a good thing for buyers. You have more products to compare and more scope for choosing the right package.

We suggest looking beyond headline figures, and checking out the fees and incentives attached to competing mortgages. It is always worth taking into account the entire product:

  • Interest rates
  • Fees
  • Length of fixed-rate term
  • And the rest…

What we do here at Limetree is work with you to find the right combination to meet your needs. Whether you’re looking into buying your first home, or are investing in property, give us a call.

Posted in Market Watch, Mortgages