Homeowners who have been enjoying an ultra-low fixed rate mortgage may be in for a shock when it comes time to refinance, with experts predicting some recent buyers will find themselves trapped in a “mortgage prison”.
More buyers, particularly those who purchased their first property at the height of the recent boom, are expected to struggle to refinance to a lower rate due to a lack of equity and falling property values – leaving them with little option but to put up with the variable rate offered by their current lender.
