Bad Credit Mortgage Centre London News Update: ‘Should we wait for a better fixed-rate bad credit mortgage deal?’
‘…We need a bad credit mortgage deals ‘cos we’ve got a poor credit record but want to know if we should wait for better fixed rate?’ asks B. Williams by email from North London.
Well, there’s no simple answer to the question as further problems hover over the housing market leaving bad credit borrowers feeling gloomer than ever. But good news is around the corner it would seem.
However, if you took your eye of the mortgage markets you would have missed the recent changes – mortgage rates including bad credit mortgage rates started creeping down again last week together with fixed rate mortgage rates.
The standard mortgage rates touched just under the 7% at 6.96% according to financial analysts Moneyfacts. With regard to bad credit mortgage fixed rates the reduction varies from lender to lender as their criteria varies considerable between lender and relative to the loan to value involved.
Larger higher loan to value (LTV) products carry far higer fixed rates with the maximum with a lot of lender at 75% LTV if you have any arrears in last twelve months with none in the last three.
The reason behind the recent reduction is down to the rate at which banks lend to each other on the financial money markets. These rates are currently dropping in expectation of lower long-term interest rates. It’s noticable that lenders such as the Nationwide, Halifax, Cheltenham & Gloucester and Abbey, have already begun to reduce their interest rates.
A cunning strategy for Londoners could be to apply to book a bad credit fixed rate mortgage right now at no cost to you and be ready to switch to a cheaper deal nearer the time if the situation becomes more favourable, say experts at The Bad Credit Mortgage Centre.
This way, you would be able to cancel today’s pricier bad credit mortgage fixed deal for a cheaper future bad credit remortgage fixed rate at no extra cost; so if, by October, bad credit fixed mortgage interest rates have gone back up again, you’ll at least have ensured you have a better, cheaper deal tucked away.
As you can appreciate, where mortgage rates will be by October nobody knows. However, it’s unlikely that you’ll get anything much lower over the next couple of months.
The best thing to do as always is to get the latest inf by talking to The Bad Credit Mortgage Centre today…
About the Author: 