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Residential mortgages - Low mortgage rates start a price war
Residential mortgages - Low mortgage rates start a price war
The lowest mortgage rates are now being offered, with a deal at just 1.99% being offered by HSBC.
Maidenhead,
Berkshire,
United Kingdom
(sardnews.org)
04/01/2013
The lowest mortgage rates are now being offered, with a deal at just 1.99% being offered by HSBC. These low mortgage rates have kick started the first mortgage rates war since 2008.
Low mortgage rates mean that home loans have fallen by a third since June, making the average mortgage payment £25 lower.
The HSBC deal available at 1.99% requires a 40% deposit and but this should filter to the first-time buyer market.
Richard Alton runs Alton Mortgages, a whole of market broker based in Maidenhead. Established in 2005, customer service is at the heart of what they do, and they recognise that their clients are individuals with very unique requirements. He says:
"It is great news for consumers that lenders are now having a price war and we have seen 3 lenders offer fixed rate at 1.99% but only if you have a 40% deposit.
"Whilst other bills such as utilities and petrol are on the increase mortgage rates and costs are definitely on the way down so it is good for consumers and good for the housing market.
"The key will be for the cheap rates to filter down to first time buyers and people with low deposits, if the scheme can do this it will be judged as a major success as this will drive the housing market forward. I expect we will have to wait to the spring to be able to judge this one to see if it has happened, but we know that Nationwide is offering great rates to First Time Buyers so now is the time to speak to a whole of market mortgage broker.
"Abbey who do most of their lending through Intermediaries are having a series of 7 day sales and like Ray Boulger says it focuses the mind as the brokers know how long they have to get everything ready and sent over to the banks in time so the customers can qualify for the cheap deals.
"If you do like a longer term fixed rate Accord Mortgages again a 'broker only brand' had some great rates for a 10 day period. A good broker will know what is going on in the market place and be available to secure the best rates for customers whether they are looking to buy, remortgage or buy for the very first time.
"The proof is in the pudding so it is great to see that rates have fallen as a direct result of Funding for Lending with Woolwich having the best rate at 2.99% now having dropped to 1.99% a massive drop.
"It is interesting that trackers haven't really changed to me this is a very strong indication that banks don't expect rates to go up. If they did expect rates to go up you would expect trackers to be cheaper than the fixed rates but at present you can get a fixed rate cheaper than a tracker mortgage - all good news for consumers.
"As a whole of market mortgage broker we have never been this busy and the last 90 days have been truly manic with people buying property, remortgaging and even buying commercial property which is great news for the economy. Let us see what 2013 has to offer.
"I believe that in 2013 there will be more competition for the higher loan to value business which will impact on first time buyers, this drive is being led by Nationwide who claim to have 20% of this market.
"I look forward to helping more people in 2013 getting better rates and hopefully seeing further recovery in the housing market."
Notes to Editors
Alton Mortgages is an established whole of market mortgage broker based in Maidenhead, Berkshire. Established in 2005, customer service is at the heart of what we do, and we recognize that our clients are individuals with very unique requirements and do what we can to find low mortgage rates and the best residential mortgage deals. Click here to find why you should use a broker . We work with individuals and families to provide them with an exceptional residential mortgage service with low . Click here to find out more about Alton Mortgages .
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About Alton MortgagesLtd
Alton Mortgages is an established whole of market mortgage broker based in Maidenhead, Berkshire. Established in 2005, customer service is at the heart of what we do, and we recognize that our clients are individuals with very unique requirements.
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