4
Sep
Mortgages 'now below crunch levels'
Mortgages are now coming down to the levels of interest they were
being charged at before the credit crunch, it has been
stated.
New figures from price comparison website Moneyfacts show that the
average two-year fixed-rate deal has come down in price from 7.08
per cent at its peak in July to 6.39 per cent.
Such prices were last available in July 2007, just before the
Northern Rock crisis broke, Moneyfacts stated, noting that the Bank
of England base rate was 0.75 per cent higher at the time.
This may indicate that mortgage rates are increasingly being
influenced by factors other than the base rate, which the Bank of
England's monetary policy committee has just voted to hold.
Analysts were expecting no change in the rate today, with all 67
economists interviewed by Reuters and all nine polled by Adfero
predicting no change.
