14:55 PM, 29th November 2022, About 2 months ago
To fix your mortgage rate or not. That is THE question of 2022, a year of uncertainty in the mortgage market.
Over the past 12 months the Bank Rate has increased 8 times, from 0.1% in November 2021 to 3.0% a year later, the highest level since 2008.
This has been driven mainly by the rate of inflation reaching 11.1%, the highest rate for 41 years, substantially higher than the Bank of England’s official medium-term target of 2%.
This has been caused by several factors, including the war in Ukraine, high energy and fuel costs, increasing food costs and last but not least, the disastrous mini budget initiated by Liz Truss and her Chancellor Kwasi Kwarteng.
The market predicts that the bank of England base rate will rise above 4% in early 2023 and as high as 4.85 by mid-2023. Having said that the Deputy Governor of the Bank of England, Sir Dave Ramsden has recently stated, if households are under greater pressure “then I would consider the case for reducing the bank rate as appropriate.”
It is difficult to predict the market, without a crystal ball. However, at Brooklands Commercial Finance we have the latest and most up-to-date and sophisticated sourcing systems and access to all the UK mortgage lenders, that allows us to provide our clients with up-to-the-minute advise.
Contact us today to get a free mortgage review, in order to allow you to make informed decisions.
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