Brits ‘opting for fixed-rate mortgages’

As debt management problems continue to affect families around the country, more homebuyers than ever have taken steps to avoid being susceptible to changes in the base rate of interest, figures from the Mortgage Trust have revealed.

In fact, fixed-rate mortgage arrangements now account for the majority (60 per cent) of all home buying deals being agreed in the UK, which represents a rise of 12 per cent in less than a year, the recent study demonstrates.

“Our research also shows that an even higher proportion of landlords have been taking out fixed-rate loans,” noted John Heron from Paragon Mortgages.

The Bank of England has increased the cost of borrowing across the UK four times since last August, which has made finding a debt solution more difficult for millions of homeowners nationwide.