Today, though, the outlook seems a lot less gloomy. Major lenders, including the likes of Santander, have sent news that they plan to further decrease their fixed interest rate prices from Friday 4th August, an indication that stability is returning to the market.
The main issue we’ve all faced is the rapidly changing situation. How can a family make a budget when interest costs, utility and food costs change every month? Stability will help us step back, review our finances, and make those key decisions without the major pressure added of mortgage lenders withdrawing their products on a day’s notice.
Increasing costs and cashflow may encourage you to sit tight, approach your own bank as your first resort but I urge you to first consider speaking to an adviser. Where you have a mortgage rate ending in the next 6 to 12 months, with the typical mortgage set to be more expensive, you may be better off borrowing some extra and paying off credit commitments that you’ve built up or replenishing your savings. An adviser can guide you through the options to make sure you’re making informed decisions.
Sam Scheitler
Clark Mortgages