Mortgage price war rages while base rate remains unchanged

February 12, 2015 by Brendan

Rates

Following the recent decision by the Bank of England to keep the base rate at the historic low of 0.5%, experts have revealed that now is the time to buy, as lenders go all out to compete for new business.

As high street banks and brokers continue to advertise market-leading rates, each trying to outdo the others as they attempt to entice customers and boost their market share of mortgage business, it is a great time to be looking to remortgage, move home or even get onto the property ladder.

Fixed rates are at an all-time low, with some experts predicting that they may even dip below 1% in the next couple of weeks.

The Mortgage Bureau’s Brian Murphy said:

“The next six months are shaping up to be the best ever window to secure a low interest rate if you are looking to buy or remortgage. Lenders have begun the year with a strong appetite for growth.”

Data released by the Bank of England shows that over the last 12 months, the average two-year fixed rate has dropped by 0.36 to 2.01%. New challenger banks that have stepped onto the market have further driven down rates as the competition increases.

It will be a busy time for mortgage advisors, who having completed their CeMAP training, and gained the necessary qualification will be the first point of call for customers looking to buy a property, move home or remortgage, and who wish to obtain advise on the best mortgage package for their needs.