Friday, June 8, 2007
Majority of these borrowers will face increases of between 0.75% and 1.5% on their mortgage rates
The Council of Mortgage Lenders has welcomed the Bank of England MPC decision to hold rates. Even so, the CML urges borrowers who will be coming to the end of fixed-rate deals in 2007 or 2008 to plan ahead for the higher payments they will almost certainly face. Using data from its regulated mortgage survey, the CML estimates that about 1.3 million borrowers took out fixed-rate mortgages in 2005, and a further 1.5 million in 2006. Most, but not all, of these mortgages would have been fixed for two years.