Mortgage rate predictions for 2013.

Want to know the mortgage rate predictions for 2013?

Knowing what might happen with rates next year might help you plan a property purchase or remortgage, however when reviewing predictions act with caution as a 'prediction' is just a forecaster's best guess.

Each year predicting mortgage rates is complex and in 2013 this is no different.

In 2012 early predictions were for rates to rise, prior to summer mortgage-holders were warned to fix a deal before the best rates disappeared.

Not only did rates not rise and the best deals disappear, but rates fell to an historic low as lenders fought for new business.

No one predicted rates would fall prior to summer, however news of the 'Funding for Lending' scheme which reduced lenders funding costs was not released until late July. The scheme was launched in August and since this time rates have dramatically fallen.

Mortgage rate predictions for 2013 is the the 'Funding for Lending' scheme to have an even greater impact. The Nationwide advise they feel lower deposit mortgage rates should start to fall around Easter in time for the traditional spring start to home purchase season.

The Government scheme is to expire in 12 months and so up until this time it is predicted that lenders will take full advantage of the cheap funding which is on offer, the hope is this may ensure rates are kept low.

If you are a lower deposit buyer the mortgage rate prediction for 2013 which most affects you is that rates for smaller deposit buyers may begin to fall.

It is important to remember that predictions are just that, and if you are looking for a mortgage you should consider looking now for the lowest rate possible through Deal Direct.

Call now for advice and a quote.