2014 mortgage rates - what can we expect?
If you are expecting mortgage rates to remain at rock bottom levels during 2014 you could be left disappointed.
While the Bank of England has pledged to keep the base rate at 0.5% until 2015 or longer, it is not the case lenders will follow suit and make the same pledge with mortgage rates.
Already some lenders have increased their longer term fixes in reaction to the Government's partial withdrawal of cheap funding through the Funding for Lending Scheme. The emphasis is now on lending to small businesses rather than home-owners. As funding costs increase lenders are expected to react by increasing their rates.
The advice is don't delay looking for a deal because you believe rates won't rise until interest rates go up. If you adopt this strategy you could end up paying a lot more for your home over the long term.
To avoid missing out on a competitive deal you should shop around now to get the best deal you can. Avoid the risk that rates will rise by locking into a cheap deal while you still can.
At present 2 and 3 year fixed rate pricing looks to be holding steady but 5 year rates are not, they are now more expensive than a couple of months ago.
If you are looking for a competitive mortgage overall you should speak to an independent 'whole of market' broker on 0800 048 8828.
Act now and get the best deal while you can.
Call 0800 048 8828 for a low rate quote or click below for an immediate online search.
