Halifax have announced that as of the 18th of July (this coming Monday) they will be raising interest rates…again…on selected 2-year and 10-year products. They have said that the rises could be as much as 0.32%.
Here are the details we know about the new Halifax mortgage rate rise:
- The product affected include Halifax’s homebuyer, new build, large loan, first homes and affordable housing – shared equity, shared ownership and resale price covenant products including equivalent green home products.
- Two-year fixes now start at 3.24%, with the biggest change of 0.32% occurring at 80% and 85% LTV.
- The 60% and 90% LTV two-year fixes are also subject to a large change. They will increase from 3.24% to 3.51% and 3.38% to 3.65% respectively.
- Five-year fixes now start at 3.51%, with the largest increase being at 60% LTV where the rate will increase from 3.45% to 3.66%.
- Changes for 10-year fixes included 75% LTV with a product fee of £999 increase from 3.38% to 3.43%.
It is not all doom and gloom; however, they have announced a slight rate decrease for some higher LTV products.
- The 95% LTV products with no product fee reduced from 4.14% to 4.00%, while the 95% LTV with a £995 product fee was also reduced from 4.06% to 3.88%.
Content and communications manager at Oportfolio mortgages Louis Mason had this to say: “It’s easy to get concerned when seeing things like this announced by banks and perhaps, we should be a little worried. At this moment in time, we can’t predict what the future of the mortgage market holds. Rates could rise even higher, or they could cool off sooner rather than later and drop again.
We are inclined to believe the latter, which is why we are encouraging all our clients to speak with our advisors for a financial health check now. We want to make sure that our clients are covered for any kind of mortgage uncertainty. We think that the best thing to do right now is to remortgage your property now so that you can remain on a comfortable rate in-case rates do go through the roof.
Then, when the rates do eventually drop back down, we can look at moving you on to a lower rate further down the line. People really need to start taking the rate rises seriously and need to utilise the help of mortgage experts and we are more than happy to help.”
If you or anyone you know is concerned about the rate rises or the current rate that your mortgage is on, please give our team of helpful advisors a call to go through your options.