| | | | Fixed Rate Mortgage Rates to Increase Act Fast to Get Lowest Rates
Following our emails over the last few months it has come to light that fixed rates are very likely and have started to increase with many mortgage lenders. This week The Mortgage Works, one of the leading buy to let lenders announced they were pulling all 2, 3 and 5 year fixed rates. Please see the article below which stresses the urgency for borrowers on variable rates to secure a fixed rate as soon as possible in order to plan and save for the future.
Underneath the article you will find a small selection of the best available remortgage deals on the market. We are independent and have access to "whole of market". Please don't hesitate to contact Andrew or Phil on 0845 345 5311 to discuss your mortgage and protection needs.
Fixed rate mortgage rates to increase **Wednesday, 10 Jun 2009 10:42
Fixed rate mortgage interest rates look set to increase in the coming weeks.
Over recent days swap rates – which are used by mortgage lenders in setting interest rates on fixes – have increased pointing to hikes for new borrowers. Two-year swap rates have risen by 0.5 per cent, while three and five-year rates are up 0.62 per cent. Ray Boulger at UK mortgage broker John Charcol said: "The scale of the increase [of swap rates] was large enough to be the straw that breaks the camel's back and as a result I expect several lenders to increase the cost of at least some of their fixed-rate mortgages over the next few days." He added around 80 per cent of his clients were now opting for fixed rate deals.
"The message for borrowers wanting to take a fixed rate is clear; get in now or miss out on the current relatively low rates," he said. However, for borrowers happy to sit on a standard variable rate, the move to take on a higher rate fix may seem hard to take.
Michael White, chief executive at Email Mortgages, said: "The question, ‘Why should I fix when it will mean increasing my monthly repayments?’ is often raised. "We understand and sympathise that borrowers will want to pay as little as possible on a monthly basis. However, what might seem a ‘no brainer’ at present needs to be looked at in closer detail, preferably with a mortgage adviser. "All this market needs is for Bank Base Rate to begin inching up and lenders to act accordingly before any short-term gain turns to long-term pain." He went on to point to data from moneyfacts.co.uk showing a 0.2 per cent rise in fixed rate mortgage costs over the last year. “Those who are contemplating remortgaging to a fixed rate should certainly consider their options right now rather than waiting," Mr White said. "To hang on, even for a couple of months, could mean a further 30 to 40 basis points rise in pricing which over the course of the mortgage will add a significant amount to the overall payment." He added a mortgage should be concerned as a long-term commitment and borrowers should look at repayments over a period much greater than the next few months.
Residential/Main Home Mortgages |  | - £995.00 arrangement fee. Can be added to loan
- Free Valuation Fee for Re Mortgages
- Free Legal Fees for Re Mortgages
- Early Repayment charges of 3% of total loan amount + £225.00 admin until 02.09.11
- Reverts after 02.09.11 to 4.24% Variable
- Minimum Loan £6,000, Maximum £550,000
- The overall cost for comparison is 4.40% APR. The actual rate available will depend on your circumstances. Ask for a personalised illustration.
- 75% Loan to Value maximum
| | - £995.00 arrangement fee. Can be added to loan
- Free Valuation Fee for Re Mortgages
- Free Legal Fees for Re Mortgages
- Early Repayment charges of 3% of total loan amount + £225.00 admin until 02.09.12
- Reverts after 02.09.12 to 4.24% Variable
- Minimum Loan £6,000, Maximum £550,000
- The overall cost for comparison is 4.60% APR. The actual rate available will depend on your circumstances. Ask for a personalised illustration.
- 70% Loan to Value maximum
| | - £995.00 arrangement fee. Can be added to loan
- Free Valuation Fee for Re Mortgages
- Free Legal Fees for Re Mortgages
- Early Repayment charges of 4% of total loan amount + £225.00 admin until 02.09.13
- Reverts after 02.09.13 to 4.24% Variable
- Minimum Loan £6,000, Maximum £550,000
- The overall cost for comparison is 4.60% APR. The actual rate available will depend on your circumstances. Ask for a personalised illustration.
- 75% Loan to Value maximum
| | - 1% of loan arrangement fee. Can be added to loan
- Refunded Valuation Fee for Re Mortgages
- Free Legal Fees for Re Mortgages
- Early Repayment charges of 3% of total loan amount + £295.00 admin until 31.08.13
- Reverts after 31.08.13 to 4.99% Variable
- Minimum Loan £50,000, Maximum £550,000
- The overall cost for comparison is 5.60% APR. The actual rate available will depend on your circumstances. Ask for a personalised illustration.
- 85% Loan to Value maximum
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Kind Regards,
Ascot Lloyd Financial Services Ltd
Edward Court, Wellington Road,
Wokingham, Berkshire RG40 2AN
Web: www.ascotlloyd.co.uk
Email: info@ascotlloyd.co.uk
Tel: 0845 3455111
Fax: 0845 3455311 | Ascot Lloyd Financial Services Ltd
www.ascotlloyd.co.uk | Email: info@ascotlloyd.co.uk | Tel: 0845 3455111 | Fax: 0845 3455311 | | These Products may be withdrawn at any time, information correct as of 10.06.09. A typical fee for mortgage advice is £199.00. Your home may be repossessed if you do not keep up repayments on your mortgage. | ** Article from http://www.myfinances.co.uk/news/news/mortgages/ 10.06.09
Ascot Lloyd Financial Services Ltd is authorised and regulated by the Financial Services Authority no. 150620. Edward Court, Wellington Road, Wokingham, Berkshire RG40 2AN
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