Mortgage rates have been at record lows for some time now, but a number of experts have expressed a view that there will come a point when lenders have to increase the rates on offer in order to pass on the increased costs that they have incurred.

Lenders continue to compete with each other, each trying to secure a bigger market share. The Post Office recently released a 1.05% two-year fixed rate ,which undercut the previous low of 1.07% offered by the Yorkshire Building Society.

While this is something that we will continue to see in the short term, due to the increasing costs of lenders funds, analysts believe it is inevitable that rates will have to increase at some point. David Hollingworth of brokers London and Country said:

“Lending is flat on last year so banks are having to compete, and are sacrificing some of their profit margin. But that cannot continue indefinitely.”

His thoughts were echoed by Simon Checkley of rival broker firm Private Finance, who said:

“The low rates can only go on for so long. For now, intense competition to chase a limited mortgage market is keeping rates low.”

For borrowers, it is a great time to secure a market leading rate if they have the required deposit and booking fees that generally accompany them.

Having qualified and passed your CeMAP training and the end exam, you will be able to meet with customers, assess their affordability and provide a recommendation of the most suitable mortgage product for their individual needs regardless of current rates.

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