Mortgage rates fell back in the last few months of 2022, having surged after September’s ‘mini-budget’. If you’re thinking about remortgaging, could now be a good time to secure a deal?
Bank Rate blues
The Bank of England has increased Bank Rate throughout 2022 and is expected to continue doing so in the new year. Even so, rates have settled of late after peaking at a 14-year high of 6.55% at the end of October.
It is hard to predict exactly what will happen with future mortgage rates. The Bank of England has already hinted, though, that further Bank Rate rises are on the way, which could make this a good time to lock into a fixed-rate deal.
Stick or twist?
It is important to be aware, however, that there is a chance that if you remortgage now, rates could fall. This would mean you’ll be stuck paying a higher rate for the duration of the term.
If you’re in the last six months of your current deal, it might be worth locking into a new fixed-rate mortgage now. But remember – if you want to remortgage before your current deal ends, you might have to pay exit fees.
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Whatever you’re considering, we can help you weigh up your options. Get in touch today!
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