As ANOTHER big lender cancels deals, mortgage consumers are forewarned of additional rate increases.
With plans to reintroduce its products on Wednesday, Santander is the most recent large mortgage lender to place a temporary halt on some mortgage applications.
Mortgage customers have been told that additional rate increases “cannot be ruled out” if lenders are cancelling deals at a “relentless pace”.
The next significant mortgage company to declare a brief halt on some mortgage applications is Santander.
Mortgage customers have been told that additional rate increases “cannot be ruled out” if lenders are cancelling deals at a “relentless pace”.
The next significant mortgage company to declare a brief halt on some mortgage applications is Santander.
Mortgage customers have been told that additional rate increases “cannot be ruled out” if lenders are cancelling deals at a “relentless pace”.
The next significant mortgage company to declare a brief halt on some mortgage applications is Santander.
It follows the sharp increase in mortgage rates over the previous three weeks, which occurred when data revealed that UK inflation is not declining as swiftly as anticipated.
Fears are now being raised that the Bank of England would increase interest rates above what was previously anticipated, possibly to 5.5%.
The current base rate is 4.5%, and the next Bank of England announcement is scheduled for next Thursday, June 22.
The average two- and five-year fixed-rate mortgages were at 5.86% and 5.51%, respectively, on Monday, according to data from Moneyfacts, up from 5.49% and 5.17% on June 1.
The BBC Radio 4 Today programme quoted David Hollingworth of London & Country as saying: “It’s been very persistent over the last couple of weeks.
We are once again reached the stage where waiting is not an option if a fixed rate is being considered.
We regularly examine our offerings in light of the shifting market conditions, a Santander representative stated.
We will temporarily stop accepting new applications through intermediary and online channels starting this evening as we get ready for a relaunch of a full range of mortgage products on Wednesday morning.
Customers who have previously submitted applications won’t be impacted, and our product transfer range is still completely available.
Jonathan Haskel, a Bank of England policymaker, issued a warning this week that additional interest rate increases “cannot be ruled out” unless inflation sharply declines.
The Bank of England’s inflation target is 2%; in April, it decreased from 10.1% to 8.7%.
Things appear better than they did a few months ago, according to Mr. Haskel’s article in The Scotsman.
“Since October of last year, inflation has decreased from 11.1% to 8.7%, and by the end of this year, we anticipate it to be around 5%. However, inflation is still far too high.
It follows the sharp increase in mortgage rates over the previous three weeks, which occurred when data revealed that UK inflation is not declining as swiftly as anticipated.
Fears are now being raised that the Bank of England would increase interest rates above what was previously anticipated, possibly to 5.5%.
The current base rate is 4.5%, and the next Bank of England announcement is scheduled for next Thursday, June 22.
The average two- and five-year fixed-rate mortgages were at 5.86% and 5.51%, respectively, on Monday, according to data from Moneyfacts, up from 5.49% and 5.17% on June 1.
The BBC Radio 4 Today programme quoted David Hollingworth of London & Country as saying: “It’s been very persistent over the last couple of weeks.
We are once again reached the stage where waiting is not an option if a fixed rate is being considered.
We regularly examine our offerings in light of the shifting market conditions, a Santander representative stated.
We will temporarily stop accepting new applications through intermediary and online channels starting this evening as we get ready for a relaunch of a full range of mortgage products on Wednesday morning.
Customers who have previously submitted applications won’t be impacted, and our product transfer range is still completely available.
Jonathan Haskel, a Bank of England policymaker, issued a warning this week that additional interest rate increases “cannot be ruled out” unless inflation sharply declines.
The Bank of England’s inflation target is 2%; in April, it decreased from 10.1% to 8.7%.
Things appear better than they did a few months ago, according to Mr. Haskel’s article in The Scotsman.
“Since October of last year, inflation has decreased from 11.1% to 8.7%, and by the end of this year, we anticipate it to be around 5%. However, inflation is still far too high.
The rate increase won’t effect your monthly payment if you have a fixed-rate mortgage until the term of your present agreement expires.
This implies that you are covered for the time being. However, many people who locked into a mortgage arrangement while rates were low will get a rude surprise when it comes time to refinance because of how high rates have increased.
You might wish to check now to see if you can lock in a new deal if you’re on a variable rate or your mortgage is coming to an end in the next six months.
A fresh arrangement may often be secured three to six months in advance with most lenders.
You might be able to back out of the contract you’ve agreed to if rates do drop, but check with your lender first.