Mortgage rates tumbling!

In great news for both owner occupiers and landlords, mortgage rates have now fallen to their lowest level since before the mini-budget as lenders compete for customers ahead of expected interest rate cuts.

After bieng stuck around the 5% for well over a year the average two, three and five year fixed rates have now fallen below this important mark according to an update from Moneyfacts. These reductions come after the expectation of a fall in base rates when the Bank of England convene for their final monetary policy committee meeting of the year on December 18. The anticipation is that the base rate will fall from 4 per cent to 3.75 per cent with perhaps more falls anticipated during 2026.

Over the past few weeks we have seen an increase in interest and activity from buyers in anticipation of these reductions even though this is a traditionally quieter time of the year. There has been a noticeable increase in the number of first time buyers looking to purchase apartments in the city centre even if many of the developments are unavailable to them because of ongoing building safety issues. Seasoned investors are also becoming more active as lower prices, rising rents and some other landlords selling because of the new Renters Rights Act offering real value opportunities for those buyers who know what they are doing.