Halifax, BM Solutions, Virgin and Nottingham Building Society have made increases to their fixed rate offerings.
Halifax increased rates on purchase products by up to 0.2%, while BM Solutions increased rates by up to 0.24%.
These changes will take effect from tomorrow, Thursday 2nd May.
Virgin Money increased rates on products between 0.08% and 0.2% yesterday evening, while Nottingham BS hiked product rates this morning by up to 0.25%.
Newspage asked mortgage brokers for their views which can be seen below.
Reaction:
Michelle Lawson, director at Lawson Financial:
“The lingering chill of spring persists in the mortgage market with yet more rate increases.
“This lacklustre trend hardly inspires confidence among borrowers, and without a spark to ignite the market, the surge in mortgage approvals witnessed in March may well taper off.”
Dariusz Karpowicz, director at Albion Financial Advice:
“The atmosphere in the mortgage market is rather grim, with major players like Halifax, BM Solutions, Virgin, and Nottingham Building Society repeatedly raising their fixed rates.
“This pattern of frequent rate hikes, sometimes occurring multiple times within a week, is casting a shadow over market sentiment.
“The anticipated ‘Spring Bounce’ is nowhere in sight; instead, we’re witnessing a continuation of mortgage woes.
“Higher rates are expected to dampen buyer enthusiasm and potentially delay any positive momentum.
“As for when borrowers can expect relief, it hinges on broader economic stabilisation. For now, the outlook remains cautious and subdued.”
Ben Perks, managing director at Orchard Financial Advisers:
“When Skipton announced earlier this week that it was cutting rates, the hope was for better times ahead.
“However, it appears that was merely a fleeting moment of optimism.
“Since then, several lenders have opted to increase their rates, creating a wave of rises that will undoubtedly leave borrowers feeling anxious.”
Stephen Perkins, managing director at Yellow Brick Mortgages:
“Although many of these rate increases may seem insignificant in isolation, the frequency of these adjustments—often occurring weekly, and in some cases multiple times within the same week—feels like death by a thousand small cuts.”
Gary Bush, financial adviser at MortgageShop.com:
“It beggars belief that Halifax, BM Solutions, Virgin Money and Nottingham Building Society are all increasing their mortgage rates on the same day that Skipton Building Society is making considerable decreases.
“Surely lenders should all be going in the same direction, in this case downwards, budgets are tight across the country and this activity just creates more confusion with customers.”
Katy Eatenton, mortgage and protection specialist at Lifetime Wealth Management:
“It’s getting harder to keep upbeat and positive when talking to clients. The main focus needs to be on less procrastination and more advice.
“These turbulent times require expert advice and guidance.”
