It’s fair to say that there’s a lot going on right now. From escalating energy prices to rising interest rates, the majority of us are likely to think that the UK has become a much more uncertain – not to mention expensive – place in which to live.
And when it comes to getting a mortgage in the UK, homeowners and prospective homeowners could be forgiven for thinking that the goalposts keep moving.
As a Guildford mortgage broker that prides itself on keeping two steps ahead of a changing mortgage marketplace so that our clients continually have the best chance of getting the best mortgage in the UK, we’d be the first to admit that, at the moment, the process of applying for a mortgage sometimes feels a bit like pushing water uphill.
However, amongst all the challenges that UK homeowners currently face, there are ways in which to lock in the best UK fixed mortgage deal of today, even if you only intend on proceeding with that deal six months from now.
Nobody can predict the future
That’s right, not even our team of expert Guildford mortgage advisers. However, you don’t need a crystal ball to get the sense that interest rates are likely to go up again – and relatively soon, too.
Add to that how UK Finance has suggested that 1.8 million fixed mortgage deals are due to end in 2023, it becomes quite clear that many people could be in for a shock when they either fall onto their standard variable mortgage rate, or find out that a new fixed rate mortgage deal is much more expensive that their previous one.
So, what’s the solution?
Taking a six-month view
Say your fixed rate mortgage has six months left to run. As it’s a fixed rate deal, leaving it early is likely to incur charges, which is obviously something you wouldn’t want to do.
However, six months is a very long time in the current mortgage landscape. For example, during that time the base rate could have been increased another three times making fixed rate mortgage deals in six months time eye wateringly expensive (relative to what they are now, at least).
What many people don’t know is that you can lock in a fixed rate deal six months ahead of your current deal coming to a close. By doing so, you’re able to secure today’s rate rather than having to swallow whatever rate will be in place six months from now.
Likewise, if you secure a fixed rate deal for the future based on today’s rate and the rates go down, then you’re not bound by it. You can simply get a new deal. It really is a win-win.
If you haven’t already selected a mortgage broker then we would recommend that you do so. As a mortgage broker in Guildford, we have access to the best mortgage deals right now from a comprehensive portfolio of UK-wide lenders.
Not only that, but given the current fragility of the mortgage landscape, combined with the speed at which it’s changing, going it alone will take huge amounts of time and exclude you from many of the deals accessed by mortgage brokers on a daily basis.
So, get fixed rate mortgage ready and give us a call.
Whether you’re an existing homeowner looking to remortgage, or someone who’s looking for the best first time buyer mortgage deals, contact our team of mortgage brokers in Guildford by calling 01483 238280 or e–mailing info@complete-mortgages.co.uk.
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