Fixed Rate Mortgage Deals

Fixed rate mortgages are mortgages where the monthly payments stay the same for the period of the mortgage deal. Many borrowers like this type of mortgage because it gives them certainty over their monthly paymentsfor the period of the deal. Others are attracted by these at times when they are concerned that interest rates might rise over the coming months. Whilst they have the clear benefit of certainty of payment it is possible that borrowers can fail to realise the potential impact on their finances when their fixed rate deal ends. It is estimated that more than 1.3 million fixed rate mortgages will come to an end in 2007. Many of these were taken out in 2004 and 2005 when mortgage rates were significantly lower than they are today. We are already starting to see View the rest of this article