BUYThe Olympics are over and the Euros are a distant memory but there is one competition that is still being fiercely fought – mortgage lending. Banks and building societies are all chasing the same pool of property buyers and as a result, they are slashing interest rates attached to their home loans.
Extremely low rates have been the story of the summer and the competition to offer borrowers the best deal shows no sign of letting up. According to one report, there are now more than 80 mortgages available with an interest rate of 0.9% or lower.
House buyers with a deposit of 40% or more stand the best chance of securing the current crop of rock bottom rates but as with many too-good-to-be-true offers, the small print is always worth reading. Many of the ultra-low interest rates are tempered with high arrangement fees, and there may be restrictions on overpaying, payment holidays, and early repayment.
Aspire recommends speaking with Capricorn Financial. They can work out whether a headline-grabbing rate is worth applying for, or whether you’d be better off financially in the long run with a slightly higher rate that carries a lower (or zero) arrangement fee. As a ‘whole market’ IFA, Capricorn Financial also has access to a wide range of products, not just those from the High Street. If you’d like an introduction, let us know.
