Everest industry news
Interest rates held at 5%
08 May 2008
The Bank of England has opted to hold interest rates at five per cent.Though the decision may disappoint some prospective buyers and those with tracker mortgage deals, most experts expect to see rates fall to at least 4.5 per cent by the end of the year.
According to Council of Mortgage Lenders director general Michael Coogan, "the majority of existing borrowers are coping well" and most will be unaffected by the base rate hold.
Most leading lenders have passed on the full cuts in interest rates in recent months to their borrowers.
Nevertheless, the Royal Institution of Chartered Surveyors believes the Monetary Policy Committee should reduce the base rate to 4.5 per cent next month to help consumers combat higher living costs.
Barclays stockbrokers are forecasting that rates will finish the year at 4.25 per cent.
With households costs on the up, consumers are being urged to allocate their funds wisely in order to lighten the load on their wallet in future.
Investing in green home improvements that help cut energy costs are one such recommendation. These technologies include the latest double glazing, which helps regulate home heat loss and save fuel.
