Mortgages for the Self-Employed – The 10-Year Fixed Rate Bonanza

UK Self-Employed Mortgage

By Ed Emerson

It seems it’s not just self-employed mortgage seekers in the UK who are enjoying the latest news about steady or declining interest rates, and the long-term fixed rate deals filling lenders’ shelves.

According to David Henry of Reuters, borrowers in America are now coming back to the mortgage market in force.

David writes: “The reason for the sudden burst of (mortgage) business? Mortgage rates have dropped to lows not seen since 2013 after the U.S. Federal Reserve dashed expectations for near-term rate hikes.

“That has led existing borrowers to try and lock in better rates. New borrowers, meanwhile, have been enticed by low borrowing costs and low down-payment offers.

“With mortgage rates near historic lows, and volumes still strong in the early days of the third quarter, banks predict the trend will continue, providing a bright spot in a low-rate environment hammering their wider results.”

UK Self-Employed Mortgage

Here in the UK, self-employed mortgage seekers have seen lenders introducing new mortgage products with historically low interest rates, with particular focus on decreasing the 10-year fixed rate.

What seems an obvious opportunity in all this, despite the likelihood of higher deposits and larger fees required for these longer-term options, is the rare opportunity to secure impressively low interest rates – cheaper borrowing – for self-employed mortgage seekers over a consoderable period of time.

This insulates borrowers from future interest rate fluctuations.

And let’s face it, we’re just above zero right now and unlikely to dovetail into negative territory, so ” up” in future seems far more likely than “down.”

That said, anything goes just now as we’re in interest rate territory not seen in over 300 years.

Now, there are few things more enticing than a mortgage price war when you’re in the market for deals.

And recent research from HSBC suggests more than seven in ten buyers would consider fixing their mortgage for ten years in order to give them more stability and certainty.

Your next step is to check with the top six lenders that HNW Magazine has identified in its report The 5 Steps to Getting a Mortgage When You’re Self-Employed. These are the banks who are both focused on, and set up to work with, applicants who are classified as freelancers, company directors, consultants and the self-employed.

This report will be available soon, but you can have a sneak peak at the banks who operate in this space to help target your search here!

Want to know more? 

Why not see what HNW Magazine’s Self-Employed Mortgages section here has to offer you in terms of advice, guidance and options.

And look out for HNW Magazine’s report The 5 Steps to Getting a Mortgage When You’re Self-Employed for consultants, freelancers and entrepreneurs, out soon, and take advantage of the mistakes others have made so that you don’t have to.

Ed Emerson, Editor, HNW Magazine



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