James Moore: Forget today's best deals and fix your mortgage for longer
Outlook Moneyfacts, the financial data company, says it's time to celebrate 25 years of the fixed rate mortgage.
Back then there were just seven of them, with the best offering three years at 12.4 per cent. That looks frightening until you consider that base rates were at 14 per cent, RPI inflation stood at 8.3 per cent and the average price of a house was £50,000.
Things are a little different now. There are 2,181 such deals, outnumbering variable rate products by nearly three to one. With interest rates set to rise, and perhaps quicker then even outlying forecasts would have you believe, Moneyfacts characterises them as the industry's potential "white knight". That could prove to be an accurate description.
The problem, as it points out, is the question of when to fix and for how long. Given the impossibility of predicting the market, it's a question that shouldn't even be asked.
Better to base decisions on what people can afford and what's out there when they're buying.
The Bank of England has the jitters about the number of borrowers who have extended themselves to the degree that even a small rise in rates could tip them over, and no wonder. If more of them were on fixed rates, it wouldn't need to worry so much.
Borrowers should arguably be encouraged to fix for longer, even if it does mean them occasionally seething while loud-mouthed friends brag about their deals.
- 1 Man who held up 'hire me' sign at Waterloo station returns a year later with 'I'm hiring' sign
- 5 This crazy skiing video will leave you feeling queasy
Paris attacks: Do not call Charlie Hebdo killers 'terrorists', BBC says
Rowan Atkinson to sell £10 million McLaren 'supercar' he crashed into a tree and a lamppost
UK weather: Snow to fall in the coming week with sub-zero temperatures to last until early February
Saudi preacher who 'raped and tortured' his five -year-old daughter to death is released after paying 'blood money'
Warriors in ancient Iraq suffered Post-Traumatic Stress Disorder more than 3,000 years ago, say researchers
Nigel Farage: NHS might have to be replaced by private health insurance
'We would evict Queen from Buckingham Palace and allocate her council house,' say Greens
French court convicts three over homophobic tweets, in case hailed as a 'significant victory' by LGBT rights campaigners
George Galloway condemns 'racist, Islamophobic, hypocritical rag' Charlie Hebdo at freedom of speech rally
British Muslim school children suffering a backlash of abuse following Paris attacks
Greece elections: Syriza and EU on collision course after election win for left-wing party
iJobs Money & Business
£30000 - £32000 per annum + benefits : Ashdown Group: A highly successful, int...
£18000 - £20000 per annum: Recruitment Genius: This rapidly expanding business...
£25 - 28k + Bonus: Guru Careers: An In-house / Internal Recruiter is needed to...
Negotiable: Recruitment Genius: A Tax Assistant is required to join a leading ...