Mortgage News
Majority of brokers expect next rate rise H1 2012
Over half of mortgage intermediaries expect the Bank of England Base Rate to start rising in the first half of next year, according to Kensington research.
Out of 630 intermediaries, 53% think base rate will start increasing in the first six months of 2012, while a quarter expect the first rise later this year.
A further 13% expect rates to stay static until the second half of 2012, and 7% expect rates to remain at its historic low until 2013.
Bank Base Rate has been at record lows for just under two and a half years, with the 29th consecutive hold at 0.5% announced again today.
Charles Morley, head of sales at Kensington, said those intermediaries hoping a rate rise will increase levels of remortgaging enquiries could have a long wait.
“However, there is great opportunity now for mortgage intermediaries to talk to clients about their options and the benefits of acting sooner rather than later. Even if this does not resonate with some customers now, it will start a dialogue and could put intermediaries at the forefront of client’s minds who decide to remortgage.”
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Morley added: “You have access to a wealth of products, providing good value for real people with a range of different circumstances that may not be available direct to customers on the high street. Make use of those products and you could add incremental growth to your business.