The Bank of England has today decided to hold interest rates at the historic low of 0.5%. Customers seeking first time buyer mortgages right now are being advised to seek quality independent financial advice. An independent mortgage advisor, with their ‘whole of market’ approach, can find the very best mortgages based on the whole of the UK market, and will on average save you almost £1,000 on your annual mortgage repayments.
Hints of a possible rise in Capital Gains Tax have provoked a flurry of selling of buy to let properties, which are currently subject to CGT at 18%. Any increase would take effect from April 6th.
Ignore the tabloids! The January slump in mortgage lending does not mean a slide back into recession. Slack demand for mortgage deals is a normal seasonal feature at the start of every year, and this year was greater than usual due to the number of buyers who rushed through their mortgage deal, to qualify for the favourable rates of stamp duty in December.
Halifax is changing its policy on parents paying deposits on mortgages for their children. In future, parents must pay the mortgage deposit into an account at Halifax parent, Lloyds.
As we emerge from a snowy January, the climate is particularly favourable for those seeking a remortgage. Lenders are competing for the business of mortgage holders with significant equity built up in their homes.
Many borrowers are opting for tracker mortgages at the moment, in the expectation of enjoying rock-bottom interest rates during the remainder of 2010. Choosing the right mortgage for you depends on your mortgage priorities, however, and the only essential is taking good, independent financial advice. It really is “horses for courses”, when considering the various types of mortgage!
