Mortgage rates continue to head south

Posted on 19 August 2008 by Drew

Be the first to comment

More good news for the mortgage market with the announcement from Lloyds TSB that it is cutting its mortgage rates for the second time in two weeks amid signs that real levels of competition are returning to the market. The lender, which also owns Cheltenham & Gloucester, is reducing its mainstream fixed rates by as much as 0.31%, with trackers coming down 0.1%.

This news comes just days after Halifax, the UK's biggest mortgage lender, announced cuts of up to 0.45% across all its fixed rate mortgages and tracker rate mortgages.

Swap rates, which are the rates that banks borrow money from each other at and a key driver for fixed rate pricing, have fallen sharply over the last month, down to 5.4% from a peak of 6.5%. Thus has clearly helped the UK mortgage market with better products arriving all the time.

That said, the best deals are still only available for those with a 25% deposit, but the times they are a changin'.

Categories: Mortgages, Interest rates, Tracker mortgages, Fixed rate mortgages

Post a Comment

Please keep your comments relevant. Charcol reserves the right to edit or delete comments.

The blog postings on this site solely reflect the personal views of the authors and do not necessarily represent the views, positions, strategies or opinions of John Charcol. All comments are made in good faith, and neither John Charcol nor Drew Wotherspoon will accept liability for them.

Terms & conditions

Your initial mortgage consultation is obligation free. There will be a minimum fee for our mortgage service of £450, of which £150 is payable when you apply, and we will retain the commission from the mortgage lender. Alternatively, you can choose the fee only option which is typically 0.65% of the amount borrowed. The precise amount will depend on your circumstances and mortgage loan amount, and will be discussed and agreed before you make a mortgage application.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY DEBT SECURED ON IT

Legals

John Charcol is a trading style of Towergate Financial (West) Ltd, which is authorised and regulated by the Financial Conduct Authority; our registration number is 147692. John Charcol Associates LLP is an appointed representative of Towergate Financial (West) Ltd, which is authorised and regulated by the Financial Conduct Authority.  Registered office: Towergate House, Eclipse Park, Sittingbourne Road, Maidstone, Kent ME14 3EN. Registered in England No: 02292688.  This mortgage site is only directed at persons within the UK.   The FCA does not regulate some investment mortgage contracts.  Calls may be recorded for training and monitoring. Max call charge from a BT landline is 3.9p per minute. Calls from other networks may vary.