Rates held on sixth anniversary
The housing market has been boosted by the low rates. Monthly house sales have almost tripled since January 2009 while average house prices have increased by 19.6% over the past six years.
Commenting, Charles Haresnape, managing director, mortgages and commercial lending, at Aldermore said: “Six years of low interest rates has provided a real boost to the housing market.
“First-time buyers have been able to get a mortgage at record low rates with smaller deposits, while landlords and ordinary homeowners have been able to remortgage their properties and save thousands.
“Homeowners should continue to take advantage of low interest rates for as long as they can by overpaying their mortgages as much as possible.
“Low interest rates have also been beneficial for those looking to buy property as an investment. Buy-to-let has gathered pace over the last few years, with buy-to-let lending rising at over 20% per year and the number of landlord products available topping 700.
“With private landlords now owning almost one out of five homes, growth in this sector shows no sign of slowing.”