24
Jun
Interest 'will not increase further' on fixed-rate mortgages
It is unlikely that there will be any further rises on the interest
of fixed-rate mortgages, according to an industry expert.
Ray Boulger, senior technical manager at John Charcol, explained
that the mortgage market has now stabilised and there is no reason
for people to expect any sharp increases in the rate of interest in
the short term.
He said that the reason for the recent increases experienced by the
market is likely to have been providers deciding they did not want
to give out as much money.
"[It is] simply because some lenders wanted to curtail their
lending and the obvious way to do that is to increase your prices,"
Mr Boulger explained.
He advised people to speak to their broker if they are unsure about
whether to take out a fixed-rate mortgage deal.
The Council of Mortgage Lenders has revealed that in May gross
mortgage lending totalled an estimated £10.3 billion.
