Fixed rate buying frenzy forces lenders to slam shutters

Panicked mortgage-holders looking for fixed rate deals to protect against a widely anticipated rising base rate will find the shelves empty as many lenders have already sold out of their cheapest rate deals.

Nationwide, the UK’s second largest mortgage lender, has now closed its doors on desperate home loan shoppers.

Alliance & Leicester and Portman Building Society, along with Skipton Building Society and Kent Reliance – all of which also had best buy deals up until earlier this week – have also shut up shop on their most attractive fixed rate products.

But Cath Hearnden of broker My Mortgage Direct said that for those prepared to dig around, good deals could still be unearthed.

“Some lenders still have good two, three and five year fixes, although borrowers need to be aware that the too good to be true sounding deals will probably be much more expensive once re-mortgage fees are added into the mix.

“We like the two-year fixed rates offerings from Abbey and Halifax - while they last - but individual borrower circumstances should always be taken into account before taking the plunge.”