Lenders reducing mortgage rates is great news for the property market as the current rates for a remortgage or a new mortgage are eyewatering compared to previous years. Honestly, I can't believe that some of us, including me, are looking at mortgage interest rates of around 5.25% and considering it favourable.
Why is a 3-year fixed mortgage interest rate much higher than a 5-year fixed one? Let's hope all the mortgage rates come down across the board as opposed to funnelling us towards a 5-year fixed because the interest rates are better. Does anyone know why this is?
The article in Property Industry Eye suggests that more reductions may occur in the coming week as lenders try to stay competitive. This could further benefit consumers looking to enter the housing market or refinance existing mortgages.