Jinesh Vohra, CEO of Sprive, weighed in: “Towards the end of 2022, we saw mortgage rates rising fast. The good news is that in 2023, we’re actually starting to see things stabilise and we’re seeing hundreds of deals coming onto the market offering less than five percent – with many getting closer to four percent.
“This is partly due to change in the political landscape but also in response to signs that inflation has perhaps reached its peak.”
According to Mr Vohra, this in turn could mean interest rates will not rise as high as previously thought.
He told Express.co.uk: “In December, the Bank of England suggested interest rates were forecast to peak somewhere between 4.25 percent and 4.75 perecnt by the middle of 2023, but would remain around this level for the rest of 2023. If this is the case, it’s likely mortgage rates will rise a little before they begin to stabilise.”
But, he notes, a better idea of the situation will be established after the Bank of England holds its next meeting to discuss the interest rate decision on February 2.
Mr Vohra said: “The best way to combat higher rates is to make mortgage overpayments. Just the equivalent of a few pounds a day could make a big difference in helping you save interest but also increases your chances of putting yourself in the best position to unlock cheaper deals when you next switch.”
However, for those who don’t have extra cash to hand, Mr Vohra highlighted there are other ways people can amass a little extra every month.
He said people can use cashback apps like Sprive, where homeowners can “earn extra money towards the mortgage for free just by doing your everyday shopping with brands like Morrisons, M&S, Waitrose, Argos, Primary and many more.”
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