Seven out of 10 (71%) re-mortgagers expect to see a rise in their monthly mortgage repayments when their current deal expires.
Curbing festive spending was the top choice for homeowners looking to find additional funds, with over three quarters of under 25’s admitting they will be tightening the purse strings this Christmas.
Some homeowners will be going to greater lengths to meet rising payments, as one in six re-mortgagers (18%) plans to take on extra part time work to help meet increased costs, with this figure rising to one in four among under 35’s.
Alison Burns, director of network mortgage sales at Lloyds TSB, said: Cutting back on festive spending offers a short term solution but it’s a good idea for people with mortgages to take a longer term view of their financial situation to ensure their mortgage is suited to their specific needs and changing circumstances.
Some consumers may prefer a stepped rate deal that allows them to ease into the new higher interest rate environment. Other homeowners might opt for a tracker product, which will enable them to benefit from any potential drops in interest rates.
