The upheaval in the UK’s mortgage markets seems to have no imminent resolution, as the average mortgage rates reach a peak not seen since December of the previous year.
The standard lending rate on new biennial mortgage agreements has escalated to 5.9pc, as reported by property data firm Moneyfacts, a level last seen following Liz Truss’s mini-budget.
HSBC, a prominent lender, announced a major restructuring of its mortgage deals on Wednesday, withdrawing a large number of them and introducing higher rates effective immediately.
Jamie Lennox, a director at the brokerage firm Dimora Mortgages, echoed the sentiment that the disturbance in the mortgage market is likely to persist.
He expressed, “The unsettling news that rates will remain high is not what numerous homeowners would want to hear. It’s likely to cause a fair amount of anxiety.”
Mark Carney, former governor of the Bank of England, conveyed to ITV that UK residents will likely face elevated interest rates on their debt for an indefinite period in the future.
