January is often a time when we reflect on the excesses of the festive period and your finances should not be any different. Mortgage repayments are most households’ biggest outgoing, so reviewing your rate could yield savings.
During 2017, we saw some of the lowest mortgage rates ever – the biggest winners were those who have significant equity in their home – perhaps 30pc or 40pc. Whilst the best pricing may have disappeared, increased competition means that despite a Base Rate rise, those rates available, even at higher loan to values, continue to be attractive. Not only that, broadening policy and criteria will allow more people benefit.
If you are on SVR, coming to the end of your current offer or consider yourself a mortgage prisoner, it is worth reviewing your mortgage. Always work out the total cost of the deal – rate plus fees – when comparing products, rather than going purely by rate. It will differ according to the size of your loan, so checking the total cost ensures you don’t pay over the odds in the long run.
So why not spend time shopping around or use a mortgage broker, so see if you are eligible for a better deal that could save you money?