With the news of the Bank of England base rate coming down to 5% today, after sitting at 5.25% since August 2023, many people are wondering what this will mean for the mortgage market and how it could impact mortgages over the coming months.
The past few weeks has already seen some mortgage rates begin to lower, which is positive news for purchasers, and Rightmove’s mortgage expert, Matt Smith has suggested that we should expect to see rates continue to reduce slightly, however drastic changes shouldn’t be expected.
Whilst anyone on a fixed rate deal won’t begin to see any changes to their monthly payments until their current term is up, anyone with a variable or tracker mortgage, that is affected by base rate changes, is likely to see a drop in monthly payments. If you’re coming to the end of a fixed rate mortgage soon, you’ll likely already be considering looking into new mortgage deals that could be available to you. You can speak to your mortgage adviser up to 6 months before your current deal ends to start looking into, and securing, a great deal.
To speak to our independent, in house mortgage experts, call us to arrange your appointment.