Experts issue mortgage advice

Date:Monday 13th July 2009
Author: Susanna Kavka

A number of experts have issued tips to consumers on which mortgages to choose.

According to Jane King, mortgage advisor at Ash-Ridge Private Finance, as the base rate of interest is likely to go up, people would be well-advised to secure tracker products which have the option to switch to a fixed rate later.

While there is usually a booking fee for the switch, this is worth paying to enable people to take advantage of the low tracker rates currently being offered by lenders, she said.

Ms King described these types of home loans as offering the "best of both worlds".

Meanwhile, Rob Simpson, managing director at Simpson Financial Services, suggested that some people may be able to take advantage of mortgages which see consumers charged partly on a fixed rate and partly on a tracker rate basis.

He added: "You have to be careful you don't end up paying too much in arrangement fees but that's all part of the value of advice."

Recently, Bernard Clarke, communications manager at the Council of Mortgage Lenders, claimed that the UK's mortgage market is still suffering as a result of a lack of available products.