Martin Lewis has shared new advice for homeowners after sharing that he has been inundated with queries about mortgages since the Bank of England raised interest rates to 2.25% from 1.75% - the highest level since November 2008 - describing the mortgage market as being in “turmoil”.
Writing in the latest edition of the MoneySavingExpert.com (MSE.com) newsletter, the consumer champion focuses on whether homeowners with savings should use their savings to bring their mortgage debt down, something he has been asked about many times recently. The financial guru looks at those on new mortgages and older fixes, but more importantly shares his ‘key rule’ if you’re considering overpaying your mortgage.
Martin explained how “the mortgage market turmoil continues” and that a year ago you could fix at just under 1%, but this has now jumped to nearly 5% for a two-year fixed deal (4.82%) - a rise of more than 3% which equates to around £150 more each month.
