Recent interest rate changes have produced a new crop of fixed rate mortgages, with many deals now offering extended fixed rate periods.

The general view of recent rate rises seems to have been positive. That may sound odd, but in fact rate increases were widely expected in the short term and when they finally arrived they were not has bad as they could have been. The general consensus now seems that further increases are likely to be small if any and we will shortly return to stable or decreasing rates.

Because of this medium-term view, rates on fixed rate mortgages are stable or improving, and lenders seem more comfortable in offering longer term arrangements.

There are now crop of companies offering 10 year and even 15 year deals, such is the confidence in the market.

Our take on fixed rate deals has always been one of caution. Some people can benefit from the security of knowing that their mortgage repayments will remain static, but people should also bear in mind that mortgage lenders are experts in this field and if they can afford to offer a fixed rate deal then chances are they are feeling confident ie. they think rates will probably remain at or below the fixed rate for the duration of fixed rate period.

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