Movers looking to buy a property using a mortgage have an unbelievable range of home loans to choose from, with the Yorkshire Building Society launching the lowest mortgage rate ever this month, available in the UK at 0.89%.
Despite the reduction in mortgage rates normally occurring after a lowering of the Bank of England's interest rate, the latest crop of mortgage rate reductions is actually linked to targets.
It's been revealed that many lenders are way off their lending targets, and are therefore slashing mortgage rates to attract customers and elicit business.
"The current mortgage market is nothing short of stimulating," comments James Robinson, the General Manager at mews-specialist estate agency, Lurot Brand. "Even the most affluent cash buyers are opting for mortgages at this point in time, as there are some very low rates on offer and borrowing allows people to retain liquidity for other investments or to refurbishment current properties."
While mortgage rates hovering around the 1% mark pave the way for attractive monthly repayments, borrowers are being reminded to check any arrangement fees and standard variable rates once special deals are finished.
‘Lenders are fighting fiercely to get more customers on to their books and that’s why they are offering these ludicrously low mortgages at the moment,’