Property Sale Slump
We have recently seen 2 major lenders reduce the cost of borrowing following a property sale slump, house price falls and a decline in mortgage approvals. Analysts have predicted that other lenders would “aggressively” follow suit in a bid to attract the customers who remain in the market
The fall in rates is a sign that lenders were struggling for business, I'm getting from lenders is they're just not getting any business. The bottom has fallen out of the purchase market.”
It is expected that other lenders would launch “aggressively priced mortgages” in order to compete in the quickly changing market and fully expect the whole market to come out with cheaper deals over the next few weeks.