27
Oct
John Charcoal: Fixed-rate mortgages still unpopular
Fixed-rate mortgages are continuing to decline in popularity in the
UK as people look for property for sale in Manchester and elsewhere, new
statistics have revealed.
According to independent mortgage expert John Charcoal, 34.3 per
cent of people looking to borrow money in September opted for a
fixed-rate mortgage.
This is the smallest proportion recorded so far this year and the
firm claims that figures for October show no sign of bucking this
trend.
Ray Boulger from John Charcol said: "Most fixed-rates still look
too expensive. However, the best fixed and variable rates have got
cheaper this month, with some real competition now emerging in some
sectors of the market."
He claims that because interest rates are likely to remain low
until 2011, John Charcoal customers are being advised to take out
variable rate mortgages, especially as recent GDP figures also show
that the UK is still in a recession.
In related news, Liam Bailey, head of residential research at
Knight Frank, recently claimed that the low interest rates are
encouraging more people to purchase properties.