Almost a third (27%) of homeowners are now staying on their lender’s SVR (standard variable rate) according to new research from Unbiased.co.uk, the professional advice website.
This has increased from 23% on their lender’s SVR earlier in 2009, highlighting that more homeowners are now sitting tight on their low rate SVR, rather than remortgaging to a fixed rate.
When describing their current mortgage situation, one in four (25%) of homeowners state they are on their lender’s SVR and have no plans to change this. This rose to over one in three (36%) of those aged 55 and over. With best buy standard variable rates generally remaining lower than best buy fixed rate mortgage deals in the current market place, it appears homeowners may not be considering a move to a fixed rate unless the base rate starts to rise.
The research also shows there are now only 11% of homeowners moving to another mortgage deal once their discounted, fixed or tracker rate deal comes to an end, compared to a slightly higher 12% earlier in the year.