Cost of mortgage borrowing at record lows

We work closely with Private Finance, an independent whole of market mortgage broker whose views are often citied in national publications, as well as a number of key trade publications. We asked them about their take on September’s mortgage markets…

Even those who work in the mortgage industry have been amazed at the low rates on offer at present. For context, the best available 2, 3 and 5-year fixed rates mortgages on offer are all sub-1% at 0.84%, 0.89% and 0.91% respectively. These low rates extend to high levels of borrowing, and it means that currently you could in theory, and in the right circumstances, borrow £1,000,000 for only £700 a month in interest payments!

It is this increase in affordability that has helped push up house prices significantly and while rates remain low, we suspect prices will remain high in line with demand and constricted supply.

This is the cheapest time to borrow large amounts in a number of years and it is partly why we have seen so much demand at the higher end of the market. Do get in touch with us so that we can direct you to the mortgage specialist relating to your circumstances.

If you’re thinking about selling your home to take advantage of the low mortgage rates currently on offer, we’d be delighted to help. With Jackson-Stops as your agent you’ll receive a comprehensive service from beginning to end. We’ve been finding homes for our clients for over a century and our team of national property experts is on hand to guide you through your purchase from beginning to end.

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Your home may be repossessed if you do not keep up repayments on your mortgage.