Insurance News Archive

Property insurance cover: Fixed-rate mortgage number rising

Written by Jenny Smith

There has been a rise in the number of fixed-rate mortgages being offered, which could interest those with property insurance cover.

Andy Pratt, chief operating officer at Alexander Hall, claims that percentage fees have never been popular so providers are increasing the amount of extra charges in order to protect their margins.

He says that funding is still short in the financial services sector, which minimises the amount available to be lent out to property insurance cover holders.

Mr Pratt states: "What they want to be able to do is lend [money] to the people that are less risk to them [and the] best quality."

With the introduction of extra competition into the market, the number of fixed-rate mortgages are likely to decrease, he predicts, which could interest those with property insurance cover.

In other news, the Bank of England recently announced that the amount of mortgages approved in July increased to 50,123.

07 Sep 2009