mortgage rates coming down…

Now that Bank of England Base Rate is just 0.5%, we are seeing mortgage rates coming down to much more competitive levels.  Whilst mortgages are a considerable margin above Bank of England Base Rate, this should be seen in the context that the Bank of England would not have reduced rates so much if mortgage lenders were passing on all the rate cuts.  The abililty for lenders to make a significant lending margin should in fact help the banks to rebuild the strength in less time, to the benefit of the whole economy.