Post Office mortgage rates maybe set at new lows but are its fees?
Despite increasing predictions of likely mortgage rate increases, many lenders are still managing to swim against the tide by offering cut price deals.
How is this possible? Some lenders are still able to offering low headline rates because they are charging high fees.
For instance while the Post Office has announced mortgage rate reductions with deals in its range starting from 1.63%, fees remain high. A rate of 1.63% is low, but you have to watch the eye watering fee attached.
It is true the lender now offers a 2 year fixed rate mortgage for 60% loan to value at 1.63% which is low, however the fee charges is £1,995. At this fee level there are several alternative deals on offer from other lenders which are more competitive.
Santander for instance has recently released several new fee free deals with mortgage rates set low.
When you are comparing mortgage offers it is vital to do so on a 'like for like' basis to avoid being seduced by a low headline rate.
If you would like to make a market-wide comparison of all of the best mortgage deals available for your deposit level, you are advised to do so through an impartial adviser at independent 'whole of market' broker Deal Direct.
Deal Direct can compare the best the market has to offer, to ensure you end up with the right mortgage at the right rate for your financial needs.
For advice and a low rate offer,
call 0800 048 8828 today.
