A large number of lenders have recently cut their fixed-rate mortgages, it has been observed.
Ray Boulger of mortgage brokers John Charcol said the move by Yorkshire Building Society to lower its rates this week is the latest of many, with Chelsea, Nationwide and Coventry building societies as well as Halifax and HSBC doing likewise recently.
He said that such moves were a response to an improvement in funding levels, the expectation of continued low interest rates – lowering the risk of repossessions – an increase in dependency on funding instead of swap rates and a rise in competition.
Such trends may be good news for those seeking to take out a mortgage in the near future.
The news comes as homeowner loans continue to rise in number, with the recently published Bank of England figures for November revealing that 60,518 mortgages were agreed, up on October’s total of 57,718.