Fluctuating mortgage rates

Mortgage rates are in a state of flux in response to the Middle East conflict, which is a constantly evolving situation.

Mortgage rates were on the rise at the start of April, with over 30 lenders increasing their rates and withdrawing some products from the market. However, by the end of the month, lenders had started to make cuts again. Despite this, at the end of April the average two- and five-year fixed mortgage was still higher than at the beginning of March, before the impact of the war had started to filter through to the economy.

Those who can afford larger deposits continue to fare better in the current economic landscape, as these are the products that are seeing the biggest rate reductions. On the other hand, homeowners who are coming to the end of their five-year fixed deals are likely to be hardest hit when looking for a remortgage deal, as their new rates could be significantly higher.

We can help you understand what the changing economic situation means for you and your mortgage. Get in touch to speak to a professional adviser.

Your home may be repossessed if you do not keep up repayments on your mortgage. You may have to pay and early repayment charge to your existing lender if you remortgage.

Sources: https://www.mortgagestrategy.co.uk/news/mortgage-rates-keep-climbing-as-lender-repricing-continues/

https://www.mortgagestrategy.co.uk/news/mortgage-rates-fall-for-a-second-week-as-more-lenders-make-cuts/