Interest rates have already risen once this month and are expected to reach six percent by the end of the year.  Due to these predictions, and the increase of the base rate over the past year, cheap fixed-rate home loan deals are disappearing fast and are becoming harder to find.  Some of the top-ten mortgage lenders have already increased their interest rates in response to May’s increased interest rates, while others are charging more for fixed-rate mortgages in anticipation of further rises in interest rates.

As borrowers need stability right now with interest rates rising many are looking for fixed-rate mortgages, and should reserve their next deal now if they intend on switching mortgages once their current mortgage term is set to end.  Although fixed-rate mortgages have been looking pretty promising in relation to the base rate, many of these mortgages appear to be going up with many lenders already increasing their interest rates in case the Bank of England decides to increase the base rate again this summer.

Many of the top lenders are preparing for a rise in interest rates by increasing its fixed-rate mortgages and secured loans, and it will only be a matter of time before other lenders follow suit and increase their rates as well.  For borrowers who are looking for a fixed-rate loan or mortgage, they are advised to act now to take advantage of the remaining cheap deals.  Often lenders will allow borrowers to reserve a mortgage deal at the current rate for up to six months, so regardless of whether you are ready to move mortgage lenders, you should start shopping around and comparing deals.