Mortgage rate rise from 01 May as lenders new SVRs kick in.
If you are one of the thousands who will experience a mortgage rate rise from 01 May contact Deal Direct now. We are committed to helping protect mortgage-holders from rate increases and rising mortgage costs.
Thousands of mortgage holders will see their monthly repayments rise because of increased standard variable rates. Many could be locked into an over expensive deal.
Mortgage analysts believe that around one million holders could be affected by a mortgage rate rise. Lenders have attributed rate increases to changing market conditions and increased funding costs.
At Deal Direct we recommend that anyone currently on a lenders SVR, regardless of whether or not it has increased, should check every six months to see if a better remortgaging deal is available elsewhere.
Stricter mortgage lending criteria and stagnant house prices could make it more difficult to qualify for a cheap remortgage in the coming months so the time to act is now.
The decision to remain on your lender's SVR or look for a new fixed rate deal often depends on your equity level and your SVR increase. If you have a good level of equity or your SVR increase is 4 pc and above then a cheap remortgage deal should be available.
Any mortgage-holder concerned about a mortgage rate rise should contact 'whole of market' broker Deal Direct for an up to date mortgage comparison.
