The effort-free way to get a lower mortgage rate

I hate shopping.

What is worse than shopping? Shopping when there are loads of other people shopping!

I like to buy what I want when I want it, no pushing or shoving, no sorry sold out we re-stock next week.

I’m sure many people are like me when it comes to shopping.

So why, does everyone in the housing market want to buy at the same time?

Do you remember not so long ago when you couldn’t get a viewing?
All viewings were open houses with 50 people wanting to get in before you. Urghh! Not the way to buy a house.

I am hearing a repetitive cry, daily, that tells me buyers are heading for the same experience.

Have you heard it?
“I am ready to buy, but I’m just waiting for interest rates to fall a bit”
“Haven’t you heard base rate is going to fall in August/September/October, why would I buy now?”

Hmm.

I’d like to share a different point of view.

Why buy, when everyone else is?
Could the best time to buy be when everyone else is waiting for interest rates to fall?

Lets do the math!

Average house price in the UK: £282,000
Average deposit is 15%: £42,300
Mortgage: £239,700
30 year mortgage Term
Capital and interest repayment mortgage

Buyer 1 - Buy now
2 year fixed rate @ 4.56%
Monthly payment - £1,223.09

Buyer 2 - Buy in six month time when rates are lower
2 year fixed rate @ 4.06%
Monthly payment - £1,152.67

Saving of £70.42 a month
Over 24 months (2 year fixed rate) a saving of £1,690.08

Hypothetical situation now, but I can assure you based on historic data:

Buyer 1 – Buys with no competition at £280,000
Experience: able to arrange a solo viewing, able to negotiate, able to buy the house they wanted.

Buyer 2 – Buys when everyone else is buying which pushes the price up to £285,000.
Experience: saves £70 a month for the next two years (potentially), difficult to get a viewing, gets gazumped, struggles to find their property so settles for choice number 2 or 3.

Buyer 1 is potentially £3,300 better off.

At Home of Mortgages we offer a FREE Rate Track service meaning should you lender drop their rate from application to completion, we will notify you and change your rate for free.

Best of both worlds – what are you waiting for?

Also, just a note – Labour haven’t yet said they will extend the FTB rate of stamp duty, currently £425,000 past the 31st March 2025 deadline so at present, it will be dropping to £300,000

Another reason to act now!