Press Coverage

The Telegraph (15/06/2009) looked at whether we have seen the end of the cheap fixed rate mortgage. Some homeowners could be better off by switching to their lender's standard variable rate (SVR) once they come to the end of their initial mortgage deal rather than opting for a fix, depending on what the rate is. Melanie Bien said: 'Homeowners who are on a cheaper standard variable rate should hang on where they are while the rate is low.'

The Daily Telegraph (13/06/2009) looked at the subject in further detail. Melanie Bien said borrowers on their lender's SVR of around 5 per cent who did not have much equity 'should secure a deal now as fixes will not get any cheaper'. However, she added that those on cheaper SVRs, for example lower than 3 per cent, or who had more equity in their home, could wait a little longer. 'Those looking for a fix should consider a longer term - around five years - instead of short-term deal,' she added. 'This is because interest rates are expected to rise next year, and you don't want to be coming off your deal and looking to remortgage when rates are higher. A five-year fix will take you comfortably through any volatility in rates in the shorter term.'

The Sunday Times (14/06/2009) also looked at fixed rates. Melanie Bien advised borrowers to move sooner rather than later to secure a competitive rate. 'We would not be surprised to see a 0.5 per cent rise across the board. The average five-year fix at 6 per cent is much closer to the historical average.'

Finally, the Independent on Sunday (14/06/2009) looked at buying property at auction and whether this was a way to a bargain or moneypit. Melanie Bien advised on doing some background research before the day of the auction. 'It is worth having a survey done before you bid at auction to ensure there are no hidden nasties which will put the lender off. Many people don't bother with this because there is no guarantee they will successfully bid for the property but this could be an expensive mistake,' she said.