Borrowers uncertain about the fate of interest rates can now hedge their bets with Skipton's enhanced range. By mixing and matching from a selection of fixed rates, base rate trackers, discounts and capped rate products, homebuyers can plan for future rate increases as well as decreases – and pay as little as 5.19 per cent.
Colin Dale, head of lending at Skipton, commented: “None of us has a crystal ball to know what interest rates are going to look like in a few years time. That makes it hard for today’s borrowers when it comes to choosing a product – for example, do you fix your rate, even though the base rate could be nearing the top of its cycle, or do you track the base rate even though it’s likely to rise in the short term? At Skipton, we have the answer because, unlike many lenders, borrowers can mix and match to plan for any outcome.
“For instance, someone could take out half their loan on a fixed rate product, so they knew exactly what they were paying each month. They could then take the other half on a base rate tracker capped product, to be able to benefit from any rate decreases, whilst knowing their payments cannot go above a certain amount. By choosing from our entire portfolio of mortgages, borrowers can tailor make their loan based on their attitudes to rates and risk.”
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