Fixed-rate mortgages 'becoming cheaper'
13 January 2010 14:36:47
 |
| Lenders are reducing fixed-rate mortgage costs. |
A number of frontline providers announced cuts in their fixed-rate deals last week, despite their top-end swap rates and the Bank of England base rate remaining static.
Meanwhile, the Bank has revealed that the average two-year fixed-rate deal for borrowers with a 25% deposit fell by 0.04% during December to 4.06%, which is the lowest figure since May 2009.
Ray Boulger, from independent mortgage adviser John Charcol, explained that the trend suggests that lenders are now more confident about the future of the economy.
He said: "There is undoubtedly an increase in competition with a number of new lenders currently in the starting blocks waiting for the gun.
"Additionally, lenders are far less dependent on swap rates for their new funding, rather looking toward their savers to balance the books."
Mr Boulger added that the UK's landlords will be boosted by the recent influx of new buy-to-let products, particularly considering the sector's struggles over the past two years.
‹ Back
Other Mortgages News
-
Tracker mortgage rates fall to record low
Tracker mortgage rates have reached a record low. -
Mortgage market 'to progress' in 2010
New report suggests mortgage market recovery is set to continue. -
Mortgage market 'will recover' after recession
Mortgage activity to improve after recession ends. -
Fixed-rate mortgages 'becoming cheaper'
Lenders are reducing fixed-rate mortgage costs.
All Mortgages News
Other Home Page News
-
Think twice before taking out a payday loan
Payday loan customers may experience severe financial problems in future. -
Planning a trip? Here's where to spend your travel cash
Sterling has made strong gains against many currencies this year. -
Make sure you know your likely broadband speed
Many ISPs are still not being upfront about broadband speeds. -
Save money by checking out fixed-term energy deals
Energy costs are expected to rise again this winter.
All News Stories
Product Offers
Please ensure that you fully read the terms & conditions of any product or policy before you decide to proceed and are fully aware of the total costs and the benefits and any exclusions or limitations applicable to the product or plan.
Please note that the product links will take you direct to the Issuer or Insurer's site direct and we cannot be held responsible for the information which they provide within their own sites. On some comparison tables we use a star rating which rates products by visitor popularity.
Please ensure that you fully read the terms & conditions of any product or policy before you decide to proceed and are fully aware of the total costs and the benefits and any exclusions or limitations applicable to the product or plan.
Please note that the product links will take you direct to the Issuer or Insurer's site direct and we cannot be held responsible for the information which they provide within their own sites. On some comparison tables we use a star rating which rates products by visitor popularity.