Fixed Rate Mortgages to Fall Further

Turmoil in the stock market has led to fixed rate mortgages falling to record lows. The five year fixed rate mortgage is already at 2.59% and is predicted to eclipse the previous low of 2.48% in the coming months. The rate of 2.48% was last seen two years ago. High street lenders such as Nationwide, Halifax and Leeds building society have all recently cut their rates with many more to follow.

Furthermore, it has been predicted we are all likely to see these rates fall to below 2% in the months ahead as the big lenders battle it out in the price war. Buying a house is now steering towards an all-time low in terms of the interest you pay on your mortgage. On the down side this change is bad news for savers, as it seems they will have to wait longer for the Bank of England interest rate rise.

Stewart Property Buyers Team