Consumers are increasingly looking for alternative to tracker mortgages, due to expectations of rate rises this year, according to research from Abbey for Intermediaries (AfI).
Research from the lender suggests only 13% of homeowners due to remortgage in the next six months will opt for a tracker, compared to 33% just two months ago. However, the proportion saying they would opt for a fixed-rate deal has increased from 20% to 23% over the last month. Half of these people favour a two-year fixed-rate product rather than a three or a five-year deal. Ricky Okey, managing director of AfI, says: "Borrowers have seen a large number of highly competitive fixed-rate deals come on to the market recently and with many commentators predicting a base rate rise this year...
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