Ultra-low mortgage rates fall further ahead of UK general election

The Bank of England was never likely to raise interest rates five weeks from a general election that has only heightened a mood of political uncertainty in the UK.

The Bank has said further delays to Brexit could impact the UK economy and a December election only muddies the waters.

It would also be out of step with the Federal Reserve and the European Central Bank, which are both loosening monetary policy in an attempt to boost their economies.

As buyers hesitate against this uncertain backdrop, mortgage lenders are doing what they can to build market share, although most new customers are re-mortgaging rather than buying new homes.

If you’re looking to fix your mortgage at the moment, this means you are increasingly spoilt for choice, with five-year fixes available on a 60% loan-to-value basis at less than 1.5%. I can’t remember a time when rates were so low.

Rates have been falling on an almost weekly basis in recent months as lenders compete in the best way still left open to them – on price. For borrowers, agility and getting the best advice really will pay off in this fluid market.

Please get in touch if you’d like to find out more or discuss your borrowing options.