Experts expect mortgage rates to continue on a downward trend in the coming months, even if the Bank opts not to cut interest rates
Santander will launch a two-year mortgage fix at a rate of 3.99 per cent on Tuesday – the only such deal on the market below 4 per cent amid competition between lenders.
Mr Boulger said the last time a cheaper two-year rate was launched was March 2023, when HSBC offered a rate of 3.91 per cent, but the deal was pulled that same month. Aaron Strutt of Trinity Financial said that other lenders may follow suit in releasing cheaper two-year deals. Fixed rates are based on numerous factors including Swap rates, which broadly follow expectations of the future path of the Bank of England base rate.As virtually no economists expect the Bank of England to cut rates on Thursday, a hold is unlikely to trigger an increase in rates.
In 2020 and 2021, rates of below 1 per cent were available to some customers, but since then, the Bank of England increased interest rates from 0.1 per cent to a 16-year high of 5.25 per cent in the summer of 2023.
United Kingdom Latest News, United Kingdom Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Interest rates expected to be held at 5% – despite flatlining economyExperts have said they expect the Bank of England to next cut interest rates in November
Read more »
Prostate cancer rates across Europe since 1980 are 'indicative of overdiagnosis,' say expertsRates of prostate cancer across Europe since 1980 are 'indicative of overdiagnosis,' say researchers in a study published by The BMJ.
Read more »
Santander giving free £233 to customers who have £4,000 in accountThe bank is offering a free £36 to customers who open an account in a bid to help with the cost of living crisis - and it's also offering a free £233 to savers who put away a little more
Read more »
Santander joins F1 as official partner after Ferrari exitThe bank will join F1’s list of partners from 2025 after deal with Ferrari expires
Read more »
Halifax and Lloyds make big change to mortgages following Santander and NationwideThe Sun’s James Flanders explains how to find the best deal on your mortgage
Read more »
Ferrari and Santander announce sponsorship deal to end after 2024The deal began in 2021 as Spanish bank now targets 'new partners' with Williams touted as a possible destination
Read more »