A recent study indicates that nearly half of homeowners in the UK were not aware of the best mortgage rates available, in comparison to their own rate.
According to the Ipsos Mori research, the largest percentage of homeowners who were aware of best mortgage rates belonged to people aged 55 to 75 years old, with 77% being aware. From the interview of 2,000 homeowners, 62% of people aged 35 to 44 knew what the best mortgage rates were. Less than half of those aged 16 to 24, 42%, have an awareness of the best rates available in comparison to their own mortgage rate.
The survey had been conducted on behalf of Fairstone, a financial planning company. A similar survey had previously been carried out in 2010, when the firm found that just 39% of homeowners were aware of the market’s best mortgage rates in comparison to their current deal. The Ipsos Mori survey also discovered that people who are in employment are most likely to be aware of the best mortgage deals available on the market. Of the respondents, 68% of those who are employed had an awareness of the best mortgage rates, while 56% of those not in employment knew about the best deals. Peter Savage, a financial planner for Fairstone, said that the increase in numbers aware of the best mortgage deals may be due to the increased availability of online comparison tools.
CeMAP courses also ensure that mortgage advisors are fully able to provide extensive knowledge of the best and most suitable mortgage deals available. Always check if your mortgage advisor is whole-of-market or advising from a panel of lenders.