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The search for the low rate mortgage has grown to almost epic proportions as more consumers attempt to save money. However, right now, only those with perfect credit are able to get a low rate mortgage, and even then they have to shop around to find the best deal. Experts advise careful shopping and lots of preparatory homework if you are in the market for a low rate mortgage as well as plenty of patience.

Drew Wotherspoon of broker John Charcol stated, “With conditions in the market currently blustery, to say the least, Cheltenham & Gloucester has released its “all weather” mortgage, which we know as a drop lock. This enables consumers to have a variable rate, but retain the ability to drop into a fixed rate at any time without penalty. For those with a deposit or equity of 25% or more, the rate is Bank Rate +1.39%, and the fee is £995, which makes it very good value in the market. However, as with all types of variable mortgages, and particularly in the current environment, borrowers should ensure they can meet payments should rates increase, or be prepared to drop into the fix, bearing in mind they are on the up.”

Related reading: Low Rate Mortgages