4
Feb
Mortgage borrowers urged to act soon
Borrowers have been advised not to wait too long before securing a
fixed-rate mortgage.
Unbiased.co.uk has found that many homeowners are planning to hold
off fixing their payments until next month, as they expect interest
rates to continue falling.
Research by the advice website showed that most people expect the
base rate to reach its lowest point in March, prompting the
decision to wait.
But chief executive David Elms noted that general rules should not
be followed in the current climate, as further falls may not
come.
"With rates so low and further cuts likely to have been priced in
by lenders, borrowers need to ensure they don't lose out by holding
out too long," he said.
According to Unbiased.co.uk, the lowest three-year, fixed-rate deal
is currently just under four per cent, but a third of borrowers are
waiting for it to drop to three per cent.
Meanwhile, this week Capital Economics called for the government to
take further steps to increase mortgage lending.
