“Rate remaining at 0.5% should not encourage borrowers to rest on their laurels”
Commenting on the Bank of England’s decision to keep the Base Rate at 0.5%, Conveyancing Executive, Chris Hodgson said:
“Whilst the economy is generally fairing quite positively, there have been some recent updates that have challenged expectation. Mark Carney consequently placed doubt over whether the Bank of England would increase the Base Rate a couple of weeks ago, so today’s announcement is of little surprise.
“That said, it remains likely that interest rates will start to creep up again during the second half of this year and we could see as many as two increases before the end of 2018. Borrowers should not rest on their laurels, but instead prepare themselves for this and scrutinise the ongoing affordability of their current deal should rates increase. Being proactive, rather than reactive, is always best!
“For any borrowers nearing the end of a fixed-rate mortgage deal, it’s best to start shopping around now as many products will have already been adjusted in line with the libor rate increasing. Lenders are keen to remain competitive so there are still great deals to be had."
For more information about the BofE base rate and how this affects your borrowing when buying a property, contact Chris on 01743 266279 or firstname.lastname@example.org