The rise in the average monthly mortgage payment for people renewing their mortgages over the next year will make them around £288 worse off a month, equal to around £3,456 a year.
Recent research was based on a sample of 75k owner-occupier and buy-to-let mortgages. The initial rates all expire between August 2023 and July 2024, and the average monthly mortgage payment looks set to increase from £747, to £1,035. The average mortgage rate is expected to go from 2.29%, to 5.23%.
The above assumes that borrowers will be switching to the best available rate possible, instead of going onto their lenders SVR (standard variable rate). Figures show that there are around 1.5m fixed rates coming to an end in 2023, with 800,000 of those expected to mature in the second half of this year alone.
If your current fix deal is near expiry and you would like help in securing the best possible outcome, please get in touch. Initial enquiries are free and no obligation.
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