- Base rate cut by 1.5%
- WHOLESALE RATES ROCKET AFTER MARKET UNCERTAINTY
- mortgageforceâ„¢ collects another award for "Best Large Mortgage Firm 2008"
- Another Base Rate Cut - but is it enough?
- Jimmy Carr presents mortgageforce with it's latest award
News
Base rate cut by 1.5%
Today - 6th November 2008 - the base rate has been cut by 1.5%
The Bank of England has slashed the interest rate by a whopping 1.5% bringing it down to just 3%.
The cut from 4.5% is the largest cut by the Monetary Policy Committee since it was set up in 1997 and the first time the interest rate has fallen to 3% since 1954.
Ben Thompson, mortgages director at Legal & General, says: “The cut today is welcome, but sadly many borrowers aren’t going to benefit.
"There’s no obligation for lenders to reduce their standard variable rates and if last month is anything to go by, most will be reluctant to cut their SVRs significantly because these rates look relatively good value at the moment.
"However, swap rates are gradually starting to come down, albeit much slower than we would like, and this should have a knock-on to fixed rate pricing.”
WHOLESALE RATES ROCKET AFTER MARKET UNCERTAINTY
WHOLESALE RATES ROCKET AFTER MARKET UNCERTAINTY
24th September 2008
- Swap rates jump 0.4% in a week and LIBOR 0.35%
- BBA reports 64% fewer purchase mortgages and 28% fewer remortgages this year
Savvy mortgage borrowers are rushing for the last of the good fixed rates as 2 year swap rates have rocketed from 5.18%* to 5.58% in one week and LIBOR from 5.71% to 6.06%. Mortgageforce’s Technical Manager Katie Tucker comments: “Low rate mortgage choices were really looking bright before the drama last week, and the good news is, many lenders still have money left on the rates they priced before funding shot up. However, this sharp hike will force lenders to re-price their new deals higher when these ones run out, to make up for the extra cost.”
There is also gloomy news for the longer term. Tucker continues: “As swap rates can indicate what the City thinks the cost of borrowing might be in two years, it looks as if government intervention is expected to be delayed, short lived, or ineffective in bringing down mortgage rates. It doesn’t help that oil has flown up from under $90 a barrel to $108 this past week, thwarting consumer hopes for cheaper fuel prices, and pushing inflation up at a time that the Monetary Policy Committee is under considerable pressure to cut bank rate early; they are quite literally over a barrel.”
Underwriting criteria is proving to be as important to borrowers as low rates as Royal Bank of Scotland and Halifax have 4 day processing queues after a mortgage application rush last week. Tucker continues: “It’s no coincidence that the lenders with high loan-to-value mortgages** are popular as borrowers are applying quickly both for rates, and in case criteria are tightened up. To Halifax’s credit, it also shows that people are keen to use them and have confidence in the brand. However, as HBOS will be evaluating their businesses now, all the group’s competitive rates are likely to vanish shortly, just while they catch their breath.”
“The British Bankers Association report showing a slump in remortgages of 27.8% compared to last year is little surprise as few homeowners are raising capital to pay off debt, and many are reluctant to replace their maturing rates if there are only costly deals available. The best advice for people nearing the end of their deal is to get a whole of market broker to at least quote possible alternatives for you.”
Best rates this week
Royal Bank of Scotland’s 5.54% two year fixed rate with a £999 fee available up to 75% loan to value (LTV) (Cost for comparison 7.2% APR) has been popular, as has First Active’s*** 5.59% two year fixed rate with £999 fee and free valuation and legals on remortgages up to 75% LTV (Cost for comparison 7.3% APR). Tucker concludes: "Borrowers with a loan-to-value of less than 60% who want to take advantage of possible cuts to the Bank rate may prefer a variable rate such as Nationwide’s 0.53 over Bank rate tracker, giving a current pay rate of 5.53% for a fee of £1,999 and free legals on remortgages (Cost for comparison 6.6% APR)."
Borrowers should access www.mortgageforcewatford.co.uk or call 01923 750500 for more information.
*Two year swap rates were down at 5.18 on the 16th September
** Halifax 95% deal: 5 yr fix is 7.49% with £999 fee (Cost for comparison is 7.5% APR)
RBS 95% deal: 2 yr fixed rate 7.64% with £999 fee (Cost for comparison is 7.8% APR)
*** First Active is part of RBS group.
mortgageforceâ„¢ collects another award for "Best Large Mortgage Firm 2008"
We are delighted to announce that Mortgage Force collected yet another major industry award at the Financial Adviser Mortgage Awards, where we were named “Best Large Mortgage Firm 2008”.
Mortgage Force, yet again, beat off stiff competition from some of the biggest players in the industry, including London and Country and Charcol to win this award for the second year running.
This also marks a first “double” as we have never previously won the titles for Best Broker at both the Mortgage Strategy and Financial Adviser awards in the same year!!!
As always, this award is a strong reflection our professionalism during the last twelve months and is again extremely significant given the current challenging market place and industry as a whole.
Another Base Rate Cut - but is it enough?
BASE RATE CUT TO 5% - 10th April 2008
Despite growing pressure form the industry to drop by a half a percent, the Bank of England base rate was today reduced by 0.25% to 5%. This will help existing borrowers with mortgages that track this base rate, but will the reduction be passed onto new borrowers in the form of better deals?
After the last base rate cut, many borrowers waited to see if the effect would filter through and allow them to get a new fixed deal at a better rate. What actually happened in practice is that rates remained much the same or in fact went up!
We are all waiting to see what the lenders will do, if anything, to assist borrowers.
Jimmy Carr presents mortgageforce with it's latest award
Press Release
February 2008
MORTGAE FORCE IS VOTED
UK’S BEST MORTGAGE BROKER
The Watford and Rickmansworth branch of Mortgageforce is celebrating after the company beat off competition from over 12,000 firms to win the title ”Best Mortgage Broker 2008” at a national awards ceremony held in London earlier this month.
Mortgageforce franchisee Matthew Human based in Croxley Green was delighted that the company was awarded this prestigious title at the Mortgage Strategy Awards 2008, held at The Grosvenor House Hotel, seeing off significant competition from companies including Charcol and London & Country.
From left to right...Stuart Pender, Managing Director, Paymentshield (sponsors of this award), Nic Lewis, Operations & Franchising Director, Mortgage Force Ltd and comedian Jimmy Carr.
Matthew Human said, “We are delighted that Mortgageforce has been singled out as a firm which is at the top of our industry. Such high profile recognition is fantastic news for everyone connected with the business and it is particularly pleasing to achieve this accolade during a challenging period for the industry as a whole.”
Robyn Hall, Editor of Mortgage Strategy magazine said, “Our Mortgage Broker of the Year award is the mortgage industry’s top award, voted for by lenders through the mortgage strategy website, Mortgageforce received the lions share of the vote from some 16,000 nominations across 16 categories. To be nominated in this category is achievement enough, to win this award truly shows that Mortgageforce represents the crème de la crème of the industry and is the UK’s number one mainstream mortgage broker.”
Mortgageforce now has over 180 branches throughout the UK including Watford and Rickmansworth.
Chief Executive of Mortgageforce Rob Clifford said, “While lender votes are a key factor in winning this award, it is also testament to the tremendous work carried out by our Franchisees throughout the UK, delivering mortgage and protection advice in a professional and dedicated manner.”
Mortgageforce now hopes to repeat this success at further industry awards throughout 2008 and has already been shortlisted for the “Best Mortgage Adviser” award at the Money Marketing Financial Services Awards taking place next month.
For further information please contact Mortgageforce on 01923 750500.
Ends
Notes to Editors:
Contacts:
Matthew Human
PO BOX 581
Rickmansworth
Herts
WD3 3ZY
Tel: 01923 750500
matthewh@mortgageforce.co.uk
http://www.mortgageforcewatford.co.uk
http://www.mortgageforcerickmansworth.co.uk
Mortgageforce is a national franchise mortgage broker with over 180 franchised outlets across the UK. The business has been operating since 2001 and has been voted the UK’s best mortgage broker on several occasions, most recently on 5 February 2008 by the trade title, Mortgage Strategy. It is a wholly owned subsidiary of the West Bromwich Building Society, an £8bn financial services Group with 1,000 staff.
Base Rate dropped to 5.25%
Rates dropped to 5.25 per cent
7 February, 2008
The Bank of England reduced interest rates to 5.25 per cent today.
There were calls for a second consecutive cut in January, but it was not forthcoming and the request was not heeded by the Monetary Policy Committee (MPC), February’s Base Rate decision was therefore much more important.
Commentators have insisted that a rate cut was vital in warding off further economic destabilisation as talk of a US recession intensified during January.
This being the second rate cut since August 2005 and follows the US Federal Reserve’s emergency action which saw rates slashed by 1.25 per cent over an eight-day period.
Lenders have already responded to the decision, with Woolwich, Nationwide and HSBC pulling their SVRs back by the full amount.
The average borrower will save just under £30 per month on a 25-year £200,000 repayment mortgage.
mortgageforceâ„¢ voted Best UK broker again!
Mortgageforce was once again named as the winner in the “Best Mortgage Broker” category at the prestigious Mortgage Strategy Awards 2008, held on Tuesday night at The Grosvenor House Hotel in
The best of the UK mortgage industry were at London’s plush Grosvenor House Hotel for the prestigious Mortgage Strategy Awards 2008.
Hosted by Jimmy Carr, the night was a chance for the brightest stars in the mortgage industry to stand up and have their hard work recognised.
I am happy to say that yet again, Mortgageforce was recognised for its high standard and professionalism.
mortgageforceâ„¢ secures 3 year government contract.
Following an intensive Tender and Presentation process, against strong field including a number of our competitors, we have once again won through, this time securing a 3 year exclusive deal to provide mortgage services for members of the Public and Commercial Services Union (PCS).
PCS is the country's sixth largest Union with over 300,000 members and is the main Civil Service union, with members working in central government, for public bodies and private companies providing services to the public
Base rate remains at 5.5%
RATE REMAINS AT 5.5%
Despite predictions that the Bank of England monetary policy committee (MPC) would cut the base rate three more times by April 2008, starting with this week (10/01/2008), it was announced today that the base rate is for the time being to remain at 5.5%.
Speculation is bound to continue over the next quarter as to if the expected rate cuts will in fact materialise.
Keep a close eye on our website for all the latest news.
Base rate cut by 0.25%
Experts were speculating recently about the exprected rate reduction from the bank of England.
Not to be dissapointed the BofE cut interest rates today by a quarter of a percent to 5.5%
See our website for more information at www.mortgageforcewatford.co.uk
