Mortgage wars mean good deals for consumers - Mortgages, Money - The Independent

Mortgage wars mean good deals for consumers - Mortgages, Money - The Independent

It isn't quite pistols at dawn but mortgage lenders have definitely started to scrap for business. After four years of banks slamming the door in borrowers' faces, the first signs of a fight for market share are emerging.

With the Bank of England looking less and less likely to raise the base rate this year, lenders across the board have got the scissors out and this week Moneyfacts claimed mortgage rates hit their lowest level in 23 years. The average two-year deal is now 4.32 per cent while the average two-year tracker deal priced at 3.37 per cent.

There are even lower rates on the market. If you can find a 25 per cent deposit Hinckley & Rugby building society is offering a two-year fix of just 2.99 per cent with a £990 fee.