UK: Lenders Withdraw Fixed Rate Mortgages
April 20th, 2007Via: Guardian:
Borrowers seeking protection against a potential interest rate rise next month are seeing the choice of fixed-rate mortgages dwindle as lenders pull some of the best-buy deals.
Tuesday’s shock rise in inflation has prompted a number of lenders to withdraw or review their range of fixed deals, while others have increased the cost of those on offer.
The loss of many of the cheapest deals will hit first-time buyers particularly badly, many of who rely on the security of a fixed deal as they borrow increasing amounts to get on to the property ladder.
Posted in Economy | Top Of Page
It gives you the impression that interest rates are going to rise and the banks want to make the most amount of money in a short time before they need to start foreclosing on all of the over valued properties?
I’m assuming that the withdrawl of fixed rate mortgages will go global.
Overpriced properties here indeed. And now there’s a new trend emerging, where estate agents are marketing established urban dwellings in leafy suburbs as site with “development potential”, effectively doubling (or more) in some cases the already over-inflated market value of these sites. I pity anyone trying to get on the property ladder in the UK now.