The Times - Banks use housing mini-boom to raise price of mortgages
Mortgage rates are increasing at their fastest pace in a decade as banks try to squeeze profits from home owners and first-time buyers while a mini housing boom is under way.
According to the financial data firm Moneyfacts, the average five-year fixed-rate mortgage is now 2.62% up from a low of 2.25% an increase of more than £480 a year
Aaron Strutt of Trinity Financial told The Times: “The banks want as much mortgage business as possible and service levels have dropped. It can be incredibly frustrating for a borrower who waits weeks and weeks for a decision only to be declined, and then finds rates have gone up in the meantime.”