Mortgage rate has gone up

lm1981

Been following a mortgage rate with a bank for a few weeks and it’s suddenly gone up, I guess this is to be expected, has anyone else noticed rates go up?

Carl2510

Yes I was about to submit with Platform at 1.79 20% deposit then shot Upto 2.29 before app so applied elsewhere.

cii4ps

It’s creeping up yes. Five times now in the period I’ve applied and even comparing to a while back when I looked before I applied (there were lower rates available before). Pretty sure everyone has noticed.

lm1981

Is the rate you apply for the one you get eg if it took 2 weeks to accept but in that time it went up do you pay the rate you applied at or the new one?

AlwaysWanderlusting

Yep. I applied early July and rates with my lender have now gone up a full 1% percent for the same LTV, fix etc. 
@lm1981, as far as I understand it you get the rate as it is the day your application is submitted. 

lm1981

Thank you 

Cscott139

Most lender have got huge backlogs at the moment so to discourage new business they can increase rates so they can catch up. This is very common at the moment with higher LTV deals.

Thrugelmir

Given the broader economic climate and the real risk of people defaulting. Rates will continue to edge upwards. 

lm1981

Do you normally apply for a mortgage deal before or after a survey is complete?

Thrugelmir

An application needs to be submitted in order for it to be underwritten. The property valuation forms part of this process. 

lm1981

Thank you