Mortgage Interest Rate Increase Worry

Senior_Paper_Monitor

Perhaps this will help the OP sleep at night ...........

Ben Thompson, director of mortgages at Legal & General says whilst the doommongers and naysayers will have been most upset to see the recent positive GDP numbers, it is still too early to sit back and relax as the economy recovers, and way too early to return monetary policy to anything like normal.

He says: “It remains our firm belief that Bank Base Rate will remain frozen through this winter, and in all likelihood unchanged throughout the whole of 2011.”

Source: Mortgage Strategy (today)

My personal guess ..... a gentle drift up in the second half of next year ?

firstaspect

I wouldn't listen to the Daily Mail. It's very unlikely (in my opinion) that the Base Rate will change anytime in the next 6 months, and if it does it will be very small increases. If you hope to have a job again in 3 months then I'd wait until then to consider your options, as you wouldn't be able to remortgage anyway with no job. Once you do have a job I'd consider overpaying (if you can afford it) to bring your mortgage down and hopefully onto a better LTV for when you do wish to remortgage.