Mortgage rates drop for second month in a row.
New analysis suggests that average mortgage pricing has fallen for a second month in a row and available product choice has risen. Both points are a “positive sign” for the market. So, what’s the other data?
Data from comparison website Moneyfacts shows typical fixed rate mortgages have fallen across the board for the second month in a row.
The overall average two- and five-year fixed rates fell between the start of September and the start of October, to 6.47% and 5.97% respectively.
The average two-year fixed rate stands at 0.50% higher than the average five-year equivalent, a marginally narrower gap than the 0.51% difference last month.
Product choice also rose month-on-month to 5,495 options, the highest level of availability in more than 15 years, according to Moneyfacts.
It means the cost of borrowing will be slightly cheaper for buyers looking to make a purchase although rates are still above what many have been used to in recent years.
However, the average ‘revert to’ rate or Standard Variable Rate (SVR) has continued to climb. At 8.18%, this rate is at the highest level on Moneyfacts’ electronic records.
How does this information help Gravesham homeowners and buyers?
Hopefully this good new will prompt you into action, it's time to review your circumstances and to talk to a Mortgage Advisor. Whilst your bank should be able to help you with a mortgage or your existing lender will advise on a remortgage, remember, they can only offer you their own mortgage products. We recommend talking to a mortgage broker who will be able to search the market for the best deal that suits you.
Our in-house mortgage broker works for the Mortgage Advice Bureau (MAB) and can meet with you in our office or have a telephone conversation when it’s convenient. MAB search 1,000s of mortgage deals to find the right one for their customers' circumstances. Some of these schemes can’t be found on the high street and are exclusive to them so it’s always worth talking to them to make sure you are getting the best deal.
What should I do if I already have a mortgage?
If you’re on a fixed rate mortgage, check when your deal comes to an end. Then contact us about a meeting with our mortgage broker as it may be worth remortgaging early.
If you’re on a tracker or SVR mortgage, we recommend getting in touch with us straight away so you don’t end up paying more than you need to. Our mortgage broker can advise whether it’s beneficial for you to switch to a different mortgage product, taking into account your personal circumstances.
The main thing is, we don’t want you to pay more than you need to, and a quick phone call could help put your mind at ease.
If you’re looking to buy a property or remortgage our in house mortgage broker can meet with you in our office or have a chat over the phone. Don't hesitate, contact the office ... we are here and ready to help in whatever way we can.
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