As one mortgage door closes, another opens in 2018.
2018 is likely to see mortgage rates rising as a result of November’s change in the base rate.
However, although most of the big-name mortgage lenders immediately took the opportunity to increase their rates, many of the lesser-known and specialist lenders did not, and a number of record-low rates are still available.
For you as a mortgage-seeker, the current market conditions represent a great opportunity, especially when you couple this with another trend that is emerging.
The UK’s estate agents have been reporting that a third of homeowners, who are attempting to sell their properties, are dropping the asking price. For house and mortgage hunters, this is great news.
The news is especially good if you are searching for property in London as approximately 40% of the housing stock available has seen an average price reduction of just over 7%. This might not sound very much, however, taking the average prices for the London regions into account, this could represent anywhere between £30,000 to £80,000 or more.
Finding a homeowner willing to negotiate this much is obviously fantastic as:
- the amount of deposit you have will be greater in proportion to the purchase price
- the lower the LTV, the better the mortgage rate
- the chances for making savings are greatly enhanced
House and mortgage hunting can be exhausting and time-consuming so why not let Deal Direct do the mortgage leg-work for you? We’ll seek out the best offers and do the comparisons, making your options clear to you and fully explaining the terms and conditions.