It is certainly advantageous to do this now while rates are so low, and as you are voluntarily overpaying as much or as little as you want, when you want, you can revert to the new, lower monthly payment at any time. If this is something you would like to consider, ensure you choose a mortgage deal that allows penalty-free overpayments. This does not necessarily have to be a flexible mortgage, as a deal that allows early redemption will work just as well.

This is also a good opportunity to move house and start again, since the amount of equity you have accumulated will ensure you can put down a sizeable deposit and cover your moving costs. On top of this, your income should have increased since you first took out the mortgage and your money should go further as rates are much lower than they were in 1997.

The downside is that property prices are much higher and, with this in mind, I would strongly suggest you analyse how much you can comfortably afford to borrow before you search for a property, so you know what price range you can afford. website seo sydney With interest rates remaining on hold for yet another month, the much- anticipated rise in the Bank of England base rate is looking increasingly unlikely.

As a result, banks and building societies are borrowing more cheaply in the money markets and passing those savings on to home buyers, with some of the best-value fixed-rate deals seen in a long time. Swap rates, the rate at which lenders lend money to each other, have been falling dramatically in the past couple of weeks. The two-year rate, for example, has fallen from 5.04 per cent at the beginning of July to 4.38 per cent in the middle of last week. Combined with low inflation and poor stock market returns, this has had a direct impact on the mortgage market.