Coventry Building Society has recently announced that it will be increasing its residential and buy-to-let mortgage rates. This decision follows a period of low interest rates, and is likely to have an impact on those who are looking to purchase a property or remortgage.
The Coventry Building Society is one of the UK’s largest building societies, with over 4 million customers. It has been providing mortgages since 1884 and is one of the oldest building societies in the country. The society has recently announced that it will be increasing its residential and buy-to-let mortgage rates by 0.25%. This increase is expected to take effect from 1st August 2019.
The increase in mortgage rates is likely to have an impact on those who are looking to purchase a property or remortgage. It is likely to make it more expensive for borrowers to take out a mortgage, as the increased rate will mean higher monthly payments. This could make it more difficult for some people to secure a mortgage, as they may not be able to afford the higher payments.
The Coventry Building Society has said that the increase in rates is due to the current economic climate, which has seen interest rates remain low for a prolonged period of time. This has meant that lenders have had to look for other ways to make money, such as increasing their mortgage rates.
It is important for those looking to take out a mortgage or remortgage to shop around and compare different lenders. This will ensure that they get the best deal available, and can help them avoid paying too much for their mortgage. It is also important to consider how long you plan to stay in the property, as this will affect how much you pay in total over the life of the mortgage.
The Coventry Building Society’s decision to increase its residential and buy-to-let mortgage rates is likely to have an impact on those looking to purchase a property or remortgage. It is important for borrowers to shop around and compare different lenders to ensure they get the best deal available.