Did you know that the latest consumer research from the Mortgage Advice Bureau has discovered that over 33% of homeowners who currently have a mortgage would think about fixing their mortgage for ten years. The main reason they state is that it would give them peace of mind. Over half of those asked said they thought that interest rates would go up so it would save them money.
We know that borrowers are taking more care to ensure they are making the right financial decision, especially in today’s unsettled political climate. Taking control and safeguarding themselves wherever they can is only sensible. Securing a rate and being able to accurately budget for a whole decade offers reassurance for the consumer no matter what happens to the interest rate and the Bank of England’s base rate.
The ten year mortgage isn’t a new thing, but more people are now aware of it. With families having children later in life, as well as post university ‘children’ returning to live in the family home, financial independence from your children, isn’t likely to happen any time soon!
It won’t suit everyone however, if you intend to move within that ten year period then it might not be the most sensible option – consider the early repayment charges that may be levied. On the other hand, if you know you have ten years left on your mortgage, then it offers predictability and security.
Whatever your financial situation is at the moment, if you would like to find out more about the options available to you, come in and have a chat. We can offer advice and point you in the right direction to get the information you need.