Borrowers could save thousands of pounds by remortgaging. Now is the time for people to review their current mortgage deals and consider remortgaging, especially for those on an SVR or coming to the end of a mortgage term. First Complete and Pink have been campaigning across the country during their mortgage forums in October to encourage brokers to reach out to their clients.
Following the recent decision to reduce interest rates to 0.25%, lenders have dropped their mortgage rates to historic lows. These are unlikely to fall further with lenders pricing them as low as they can afford.
Research shows almost 60% of housing transactions occur because of changes to personal circumstances. Whether that is a new job, a divorce or another life changing event, brokers need to be aware of such changes to their client’s life, especially when recommending a new fixed term. Given the number of people coming off fixed rate mortgages by the end of the year, brokers need to work with their clients to find the right product that will suit changes to their lifestyle. As such, First Complete and Pink are urging brokers to take action now.
Karen Hedges, Mortgage Manager for First Complete and Pink says:
“As 2016 draws to a close, brokers must continue to be proactive. Advisers mustn’t assume the customer will just pick up the phone to them. Today, there are strong opportunities for brokers to help borrowers across the UK to reconsider their current mortgage deal, and potentially save them money on a monthly basis.
“What’s more, it is also a prudent time for brokers to talk to their clients about their protection needs as there is a real opportunity to strengthen client relationships.”