Tracker mortgages recommended from July onwards, says experts

Posted: 15 Apr 2010 10:11:06 GMT

Those looking to purchase a home in the near future may be wise to opt for a tracker mortgage, as it has been suggested that they will be the best home loan deals from July onwards.

Ray Boulger, senior technical manager at John Charcoal, says: "Clearly, different times will have different requirements but, in general, we were recommending trackers from about July."

He states that while this time last year around 80 per cent of homeowners were choosing fixed-rate mortgages, the proportion who are taking out this type of home loan deal has been steadily decreasing as market conditions change.

Mr Bougler's comments follow new figures from the Council of Mortgage Lenders (CML), which show that the proportion of people taking out fixed-rate mortgages stood at 47 per cent in February, marking the lowest share in the market in five years.

However, the share of tracker products stood at 36 per cent - its highest level since the CML started recording figures in 2005.

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