15 October 2014 | By Toni Smith, sales operations director, First Complete
Any borrower or potential borrower who is aware of the situation with interest rates must be very confused.
If you listen to Bank governor Mark Carney, interest rates will go up imminently; or when unemployment has fallen; or at a point in the near future. At the same time, anyone investigating interest rates will notice that lenders are dropping their mortgage rates, in some cases by quite a lot.
With around 100,000 borrowers about to experience a payment change over the next two months as their existing rate expires, conversations around interest rates will be commonplace and involve conflicting views, with some believing rates are about to increase while others will have recently experienced a reduction.
When confusion reigns like this, there is a much greater need for advisers. Interest rates will rise and probably within the next six months but while lenders are dropping their rates and there are some incredible fixed rates around, it is an opportunity for brokers – not only to help but to create a role as a trusted and knowledgeable adviser.