Latest research from Moneyfacts has shown that ten years after the last financial crisis, the average mortgage rates have decreased by half. Also because of the competition in the market that is increasing, many more people have the opportunity to get a mortgage and get a leg on the housing ladder. This data has been analyzed by Moneyfacts since March of 2009 when the Bank of England made the last six consecutive interest rates cut. The average two year fixed mortgage rate has fallen. This fall is from 4.79 percent ten years ago to 2.49 percent today. The average five year mortgage rate has also fallen by significant percentages. It has also been seen that product availability for mortgages has seen a steep rise due to stiff competition in the market. The first time buyer sector has recorded the most growth with available mortgages increasing at 130 times to remain at its current 91 position today. Ten years ago, according to the experts, it would have been difficult to imagine a data such as these but it is happening. This is a good trend for the market.
- These findings from Moneyfacts UK were its latest to date since the Bank of England made the last of the recent six consecutive interest rate changes.
- The data shows that there has been a fall in the two year fixed mortgage rate from 4.79 percent then to 2.49 percent now.
- The competition has been intensified in the market so as to attract more borrowers such that product availability has soared considerably.
“The latest research from Moneyfacts can reveal that, a decade on from the financial crisis, average mortgage rates have almost halved, with heightened competition encouraging more borrowers to get onto and move up the housing ladder.”