Mortgage rates cut
A number of UK lenders have now reduced their mortgage rates, with some fixed deals below 5%, which is welcome news for the housing market and home movers.
NatWest, TSB, Nationwide Building Society and Virgin Money are among the UK lenders to have now cut their mortgage rates.
Preston Baker reported on Wednesday that the inflation fall had slashed the chances of an interest rate increase, and this was proved to be the case yesterday (Thursday) when the Bank of England decided to leave its base rate unchanged at 5.25%, rather than increasing it as markets had expected. The move sparked hopes that the peak in rates may have been reached.
Inflation, which measures how prices change over time, fell to 6.7% in the year to August, down from 6.8% in July, official figures show. It is the third month in a row that the figure has dropped.
Mortgage rates cut
NatWest has announced it will offer 0.31% reductions across fixed residential and buy-to-let deals, with Nationwide cutting selected fixed rates by up to 0.31% from today (Friday). Nationwide, the UK’s biggest building society, said five and 10-year fixed rate for first-time buyers and home movers will now start at 4.94%.
TSB is cutting some residential deals by up to 0.25% today, which means that deals will start from 5.09%. Virgin Money has said its five-year fixed rates will begin from 4.97%. Yorkshire Building Society has also launched a sub-5% mortgage this week, bringing its five-year fixed rate down to 4.99%.
Great news for home movers
This is great news for home movers and an indication that the economy is stabilising. If you are thinking of moving, now is a good time to get your home valued and speak to a mortgage advisor.
If you are thinking of moving, or would like some mortgage advice, Preston Baker would be happy help. We can give you a free, no obligation valuation and arrange a free mortgage consultation for you.
