The Rising of Mortgage Rates

Mortgage rates continue to rise.

Property website Rightmove confirmed on Tuesday, 6 June, that this was the first week since January 2023 that mortgage rates averaged 5% or more across all loan-to-value bands.

With most households having enjoyed rates of between 1 & 3% over the last few years, there is undoubtedly going to be an inevitable payment shock with the rates that are available today, especially when an existing deal is coming to an end within the next 6 to 12 months.

One of the most common questions mortgage lenders are asked from application to application is, of course, how long does the mortgage application process take?

Halifax, Britain’s largest mortgage lender, withdrew mortgage rates on 6 June and announced new rates on the 7th. According to Halifax’s product guide, the rate on a 2-year fixed rate with a loan to value of 60% and £999 fee will rise to 5.36% as of today.

We urge you not to delay a decision regarding reviewing your remortgage/ product end-date options. Schedule a review using the diary link below. MMPE can help assist with the whole of market options assisting with a review of what your existing lender and the open market can provide. This may give you the opportunity to lock in a rate earlier than your existing lender may allow.

Schedule your mortgage review today

MMPE offer an ongoing review service, where rates are monitored through to completion. If your mortgage rate/deal can be improved, we act to secure you a better rate.

The cause of the increase in rates is predominantly due to unexpectedly strong inflation data that was published last month. This has been the main cause of a significant increase in market interest rates as investors have scrambled to price in more increases in borrowing costs from the Bank of England in the coming months.

It should also be noted that the next monetary policy committee meeting is scheduled for 22 June, where it is widely speculated that there will be further increases in the base rate. This will do little to calm the current issues with pricing.

Schedule your mortgage review today

Do not delay your decision to review your options.

Contact us to learn more

My Mortgage Experts & Protection Experts Ltd (FCA 937076), is an Appointed Representative of King Mortgages Ltd.

King Mortgages is authorised & regulated by the Financial Conduct Authority (FCA). King Mortgages Ltd is entered on the financial services register http://register.fca.org.uk/ under reference number 803561.

The information contained within this website is subject to the UK regulatory regime and is therefore primarily targeted at consumers based in the UK.

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      Automatic Property Value Updates

      Changes in property value, coupled with a potential reduction in your loan amount (with a repayment mortgage), mean a change in the equity available in your property (Loan to Value); hence there could be improved opportunities for a better mortgage for you.

      Product Expiry Date

      Sussed will track when your mortgage is due to expire (usually when your mortgage payments rise substantially as you will automatically transfer to your lender’s standard rate).

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      With automatic property value updates and your Mortgage information loaded, this feature calculates the amount of equity and the maximum potential loan that may be available within a landlord’s portfolio. This will assist with seeing if there is the opportunity for to perhaps buy another property from leveraging your portfolio.

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