Homeowners ‘looking to get fixed-up’

Homeowners around the country are increasingly aiming to get fixed-up with a mortgage deal that shields them from rises in the base rate of interest, it has been revealed.

According to the latest data from the Council of Mortgage Lenders (CML), there is a growing tendency among people remortgaging to opt for a fixed-rate arrangement.

With millions of families struggling to avoid debt management disaster as house prices tumble and credit becomes harder to find, the CML has suggested that homeowners are looking for security as they come to remortgage.

Michael Coogan, director general of the CML, said: “There has been a resurgence of fixed-rate lending as borrowers are seeking certainty.

“This trend is likely to continue as the anticipation of future Bank of England base rate cuts has diminished.”

Last week, the UK Insolvency Helpline cited the recent fall in house prices as a major reason why more and more consumers are entering Individual Voluntary Arrangements (IVAs) as a solution to their debt problems.