Moneyfacts: Fixed-rate mortgages 'experiencing reductions'

www.moneynews.co.uk > Mortgages > Moneyfacts: Fixed-rate mortgages 'experiencing reductions'

Moneyfacts: Fixed-rate mortgages 'experiencing reductions'

Thu 15th Mar 2007

A number of financial providers are effecting significant reductions on their fixed-rate mortgage packages, new research from money search engine Moneyfacts has suggested.

According to the group, eight lenders have reduced their rates over the last ten days, with a two-year Alliance & Leicester mortgage falling by 0.13 per cent.

Other impressive reductions include three and five-year Britannia mortgages being reduced by 0.3 and 0.4 per cent.

On various rates, Direct Line mortgages have been reduced by up to 0.3 per cent.

Denise Black, mortgage analyst at Moneyfacts, said: "Unlike this time last year, when fixed and discounted rates were similar, today any borrower looking to fix their mortgage will pay a premium."

She added: "It's welcome news for some consumers that fixed rates are starting to fall, but with another rate rise still a distinct possibility, it will be interesting to see how long this latest downward trend actually lasts."

The news follows figures released by the Council of Mortgage Lenders showing that a record 85 per cent of first-time buyers took up a fixed-rate package in January 2007.

Related News : Mortgages
	Brits 'failing to grasp the importance of an interest in mortgages'
	BBA highlights mortgage lending growth
	Are interest-free mortgages a bad idea?
	Buy-to-let mortgages are 'more profitable'
	House price performance to impact lenders' criteria
	More Brits 'to choose long-term mortgages'
	Offset mortgages 'are the future'
	UK house prices 'set to fall'
	Hybrid mortgages 'are a good deal' for FTBs
	UK public expects house price increase