PEACE OF MIND

Fixed-rate mortgages are popular for consumers because they provide a sense of certainty and enable people to plan ahead for the longer term knowing how much they will pay. This gives peace of mind over the one thing people worry about most, keeping a roof over their head.

This is particularly true of first-time buyers, as it would help them as they adjusted to the financial challenges of managing their new household finances.

You do have to remember that if rates drop though the fixed-rate deal may not look so competitive.

But if you offered someone renting a property the chance to have their rent fixed for the next 2, 5 or 10 years they would almost certainly grab the opportunity.