From This is Money:
And this is especially the case for those with a deposit of 15% or less. With the plunge in house prices, many owners have been left with tiny amounts of equity in their property.
But the average for existing customers is 4.98% ? a difference of 1.29% points or £116 a month on a typical £150,000 loan.
There are some key decisions you need to make before deciding on a new deal. For many, moving on to your lender’s standard variable rate (SVR) will be the best bet. For people pensionable are still working example, Nationwide’s at 2.5% is one of the lowest around, but the best two-year fix it can offer existing customers is 3.79% with a £995 fee.
However, if you want to take out a bigger loan, or are moving home, then most lenders today will not let you do this on their SVR.
All customers with up to a 25% deposit get offered the same rate of 4.39%, but the fee for existing customers is £500 cheaper.
With a smaller deposit than this, there is n…