As Bank rates rise again, is it time to re-mortgage?
Tuesday 21 June, 2022
The Bank of England increased interest rates again last week in response to inflationary fears, and we are now seeing mortgage lenders increase their standard variable rates too.
It is never too late to review your mortgage. We recommend you call our Thomas Oliver mortgage broking team on 01707 872000 to make sure you have the best mortgage rate and most suitable mortgage product for your circumstances.
Please note that these mortgage rates below are only available for a certain length of time, but we can check the market and provide you with the best available rate when you call us.
Mortgage Deal – Option 1
£200,000 loan with a 25-year term
Fixed rate of 2.54% until 31.05.24
Monthly Payment £423.33
Early repayment charges will apply until 31.05.24
The overall cost for comparison is 4.1% APRC
For an interest only mortgage you would pay 24 payments at a cost of 2.54% with monthly payments of £423.33, followed by 276 payments at a variable rate which is currently 4.24% with monthly payments of £707.67 Total amount payable £406,285.
The illustration is based on an interest only mortgage.
Mortgage Deal – Option 2
£250,000 loan with a 25-year term
Fixed rate of 2.54% until 31.05.24
Monthly Payment £529.17
Early repayment charges will apply until 31.05.24
The overall cost for comparison is 4.1% APRC
For an interest only mortgage you would pay 24 payments at a cost of 2.54% with monthly payments of £529.17, followed by 276 payments at a variable rate which is currently 4.24% with monthly payments of £883.33. Total amount payable £507,583.
Please note if you are reading this this after 30/5/22 it is possible that these rates may no longer be available.
Our Mortgage Services
Thomas Oliver provides mortgage advice for the following services:
- Mortgages
- Remortgages
- Product Transfer
- Further Advances
- Interest Only Mortgages
- Repayment Mortgages
- Variable Mortgages
- Tracker Mortgages
- Fixed Mortgages
Richard Rushworth - Mortgage Broker & Protection Adviser in Brentwood & Hertford said:
‘We work with first time buyers, home movers and commercial investors purchasing buy to let investments. We also offer re-mortgages to clients who are on variable rates or who have fixed rate mortgage deals that are due to come to an end soon. Many clients fixed their mortgages during the pandemic, and these are now coming up for renewal, but clients are finding rates are much higher than they are used to paying as we have seen mortgage rates increase from their lows last year. We would urge anyone whose mortgage is coming up for renewal in the next six months to call us as soon as possible so we can find them the best mortgage deal. Remember many mortgage deals often last up to six months so you can organise it now ready for when you need it.’
In Summary…
Don’t delay, call our mortgage brokers now to check the mortgage products and rates available to you.
Your property may be repossessed if you do not keep up repayments on your mortgage. Thomas Oliver UK LLP are appointed representatives of Openwork Limited which is authorised and regulated by the Financial Conduct Authority.
