Lenders have been cutting rates by small amounts of 0.2 and 0.5 percentage points but nothing more substantial in recent weeks.Mendes added: “As swaps have fallen and inflation is down, lenders have the room to reprice downwards which will happen over a period of time. In good news, they can now hopefully drop rates again and by more substantial amounts.”
For those on tracker mortgages, which tend to follow the base rate, the news of a pause will provide some comfort, however many will still be paying sky high amounts. Mendes said: “It will be difficult for those coming off fixed mortgage terms and wondering whether to wait for rates to come down or go on a tracker. But rates are coming down which is good news.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more: