Last November, interest rates rose for the first time in a decade, signalling the end of an era for extremely low borrowing costs. Given this prolonged period of low interest rates, there is now a generation of homeowners who have never experienced ‘normal’ interest rate levels.
Cheaper borrowing has helped fuel rising property values over the last decade. As a consequence, homeowners are borrowing larger sums to further their step up on the property ladder. The danger is that higher borrowing and rising interest rates may cause financial hardship in the future. Therefore, it is essential to plan ahead for any interest rate rises, as indicated by the Bank of England.
If you are already on a fixed rate which is coming to an end within the next 6 months, it is worth seeking advice now, as your lender may not offer the most competitive rate when you come to the end of your fixed term. New mortgage offers tend to last six months, therefore, you could secure a more favourable rate now, rather than in the future, when rates may have risen further.
With the threat of higher interest rates impacting on the cost of car loans, credit cards and personal loans, mortgage rates by comparison are nearly always more favourable. Therefore, if you are seeking to consolidate debt or release money for planned purchases, now may be the time to consider our mortgage services.
Get in touch
Ashington Page has linked up with senior mortgage adviser Sally Smiles of Salisbury Financial Services Ltd, based in Gerrards Cross. Salisbury’s has over 30 years’ experience in arranging mortgages and has access to whole of market.
For an initial discussion please contact Sally Smiles on 01753 889090 or email@example.com
Stay up to date
If you are thinking of selling or buying a property be sure you give one of our local experts a call on 01494 680018 or email us, we’d be happy to talk you through the options available. You can also follow us on Facebook, Twitter, Instagram and LinkedIn.
Your home may be repossessed if you do not keep up repayments on your mortgage.
photo credit: By Stokkete