Here's what Grant Nichols - Director of Start Financial Services says about today's Bank of England's increase in its base rate.
As expected the base rate has increased by 0.75% to 3% in the continued effort to defend the value of the pound and combat inflation. Those on tracker rate mortgages will see their monthly costs rise and other borrowers on discounted products and their lender's standard variable rate may also pay more.
The cost of funding for fixed rate products which are known as swap rates, have already priced this in and has dropped significantly since the ill-fated mini-budget. It is now time for lenders to start to pass on some of these reductions to borrowers. If you are looking to buy a house or refinance it has never been more important to seek expert advice and we have a team of experienced mortgage brokers on hand to help you.
Talk to a mortgage professional now.