As 2024 comes to a close, many homeowners and first-time buyers are looking for ways to secure the best mortgage deal before the new year. With fluctuating interest rates and shifting market conditions, it’s crucial to act strategically to lock in a favourable rate.
Here’s how you can make the most of the current market to secure a great deal before 2025:
1. Understand Your Options
The first step is to decide between a fixed-rate and a variable-rate mortgage. Fixed-rate mortgages offer stability, locking in your interest rate for a set period. This is ideal if you’re concerned about future rate increases. However, if you believe rates may drop, a variable or tracker mortgage might save you money in the long run, though they come with more risk.
2. Shop Around
Don’t settle for the first offer you receive. Consult with your mortgage adviser to access exclusive deals not available directly from lenders. Remember, the smallest difference in interest rates can save you thousands over the term of your mortgage.
3. Plan Early
You can book a rate early to protect against increased rates and usually still retain the option of taking advantage of any rate decreases should rates fall before the new mortgage deal takes effect
4. Check Your Credit Score
Lenders offer the best rates to those with strong credit. Before applying, check your credit score and ensure it’s in good shape. Simple steps like paying off debts, making payments on time, and avoiding new credit applications can boost your score quickly.
5. Consider Overpaying
If you’re already on a mortgage, making overpayments can reduce your balance and potentially lower the rate offered when you remortgage. Just ensure there are no penalties for doing so.
By following these tips, you’ll be in a strong position to secure a great mortgage deal before the new year.
For more information, contact your adviser today to discuss the best option for you. If you’d like to discuss the options available to you, contact your adviser.
You can contact one of our independent advisers for personalised advice and support in making confident, informed decisions by using our Facebook or Contact Us pages, or speaking to a colleague in our office on 01329 282882.
Please note: The content of this blog is for your general information purposes only and does not constitute as mortgage advice.
Your home may be repossessed if you do not keep up repayment on your mortgage.