Is the writing on the wall for the cheapest mortgage rates?

Borrowers are currently experiencing the cheapest mortgage rates for over a decade. Home-owners haven't had it this good for years.

The Funding for lending scheme has had a positive impact on lenders mortgage rates, with the cheapest mortgage deals offered at under 2%.

Rates have fallen dramatically since the launch of the funding for lending scheme, the last 5 months in particular has seen borrowers benefit from massive rate cuts.

It is now not difficult to find a competitive offer, regardless of your deposit level. Even first time buyers are finally getting a leg up with the introduction of schemes such as Help to Buy.

With rates at an historic low it makes sense to purchase a new home or remortgage, especially since criteria is relaxing and required deposit levels are falling.

However there is another reason to act now and source a low rate deal.

Market experts are warning that cheap mortgage won't last forever. Mortgage rates will rise, new buyers and remortgaging customers are therefore being advised to source a low rate deal while they can.

Why fix a deal now?

There are two reason to act now and lock into a low rate offer.

Firstly rates have reached a level so low it is unlikely they can fall further.

Secondly today's cheapest mortgages have been made possible by the Governments Funding for Lending scheme. This initiative has an end date, it was not launched to run forever. When the scheme ends it is highly likely rates will dramatically rise as lenders are once again forced to pay more to borrow to fund their mortgage lending.

You could take a risk and wait to see if you can get a better deal but you could miss out on a cheap deal if rates rise, so while fixed rate mortgages are at historic low you are advised to lock into a low rate.

As an independent 'whole of market' broker Deal Direct has its finger on the mortgage market pulse. We have gained access to new mortgage exclusives set at low rates not available anywhere on line.

Included in our range of mortgage exclusives is a 2 year fixed rate deal from the Halifax at just 1.94%, its a deal that is hard to beat.

For those looking for a cheap deal we advise you to act sooner rather than later, we can help you to save money now.

For a full review of our exclusives, impartial advice and a low rate quote contact one of our advisers today.

Call now on 0800 048 8828.