UK Landlord Forum / Life

Just over a year ago you could get a fixed rate mortgage deal at 5.25% and the standard variable rate would be 7.5%.

But now the fixed rate deals are extremely close to the STR's. The best BTL fixed rate is 6.59% on moneysupermarket.com, but then it jumps to 7% when you get on the SVR... The margin is shrinking!

In some senses it's not a bad thing, because now that initial sting when your fixed rate period expires isn't that sharp, but it just shows how much borrowing is costing these days.

You may wait and it does not happen. Banks are a law unto themselves. We cannot predict what they will do with absolute certainty. If the market drops the deposits rise. If interest lowers then commmission raises. We only win if the deal stacks up regardless.