Bank of England Holds Rates – What You Need to Know About Remortgaging in 2023
Updated on: September 28, 2023
The Bank of England’s recent decision to hold interest rates steady after 15 consecutive increases has prompted many homeowners and investors to reassess their mortgage options. With inflation easing from 11.1% at the end of 2022 to 6.7% in September 2023, attention has shifted to whether remortgaging in 2023 could present a smart financial opportunity.
Is Now the Right Time to Remortgage?
If you are nearing the end of a fixed-rate period or are among the 25% of UK borrowers on variable rates, you may be questioning the optimal timing. While mortgage costs spiked earlier in the year, they have been edging lower following August’s final rate rise. Government forecasts suggest inflation may dip towards 5% by the year-end, raising hopes of further mortgage rate reductions.
For UHNWIs, expats, and international investors, the market at present provides a narrow but valuable window to reassess property finance. Engaging an experienced broker, such as Articus Finance, ensures access to deals beyond high street visibility and helps navigate nuanced lender criteria.
Key Advantages of Remortgaging
- Cost Savings: Once your current deal expires, you are automatically placed on a lender’s Standard Variable Rate, which is almost always more expensive. Remortgaging can significantly cut these costs.
- Capital Raising: Beyond savings, remortgaging can unlock access to additional borrowing. This is particularly relevant for private clients seeking liquidity for business investment or residential upgrades. Explore how ArticusFinancesecuredcapitalvia remortgage to assist a client’s business expansion.
- Future Planning: Strategically locking in competitive terms now creates predictability, critical for portfolio landlords and investors working across fluctuating markets.
Can I Lock a Deal Before My Current Mortgage Ends?
Yes. Many lenders allow you to secure a rate up to six months in advance without immediate commitment. This “forward booking” strategy helps you avoid reverting to expensive SVRs while leaving flexibility to pivot if more favourable rates arise.
For high-value borrowers, this approach mitigates exposure to uncertainty, ensuring that assets remain stable and costs predictable.
Should You Choose a Two-Year or Five-Year Fixed Rate?
As of late September 2023, average rates stand at:
- Two-year fixed mortgage: 6.56%
- Five-year fixed mortgage: 6.06%
The narrowing gap between the two options highlights the trade-off between short-term flexibility and long-term stability. For globally mobile clients, shorter terms may add agility if relocation or portfolio restructuring lies ahead. Conversely, a five-year fix secures certainty, appealing to investors prioritising cashflow predictability over optionality. Strategic alignment with your investment horizon remains key, and bespoke guidance from a broker is essential.
How to Identify the Best Fixed-Rate Mortgage Deals
Locating the most competitive opportunities is rarely as simple as scanning headline rates. Here’s why professional guidance through Articus Finance provides a decisive edge:
- Exclusive Access: Specialist brokers maintain access to private bank and international lenders not visible on the high street.
- Tailored Solutions: Each client’s structure—trust ownership, overseas residence, multi-currency income—requires bespoke lender assessment.
- Time Efficiency: Mortgage brokerage alleviates the administrative burden, handling valuation, underwriting, and legal coordination seamlessly.
Case Study Insight
One recent Articus client, a UHNW entrepreneur, required liquidity to reinvest into a business acquisition. By remortgaging an existing London property, Articus Finance successfully secured a competitive capital raise solution unavailable through traditional lenders. The transaction ensured liquidity without disrupting wider portfolio allocation.
This type of structured thinking is part of what distinguishes Articus—from balancing HNW individual requirements to navigating international residency considerations efficiently.
Final Thoughts: Is Remortgaging in 2023 the Right Move?
While there is no universal answer, the prevailing financial climate underlines the importance of reviewing your options now. The Bank of England’s hold on rates indicates potential stabilisation, yet mortgage markets remain sensitive to both inflation trajectories and global economic shocks.
For UHNWIs, expats, and overseas investors, Articus Finance brings experience, lender access, and discretion to ensure that remortgaging in 2023 aligns with personal and investment goals. To explore your options, we invite confidential discussions with our London-based mortgage specialists.
Proven Global Expertise
Articus Finance brokers combine over 20 years of experience structuring complex mortgage lending across domestic and international property markets. Trusted by family offices, entrepreneurs, and private banks, the team is uniquely positioned to navigate intricate lending requirements with precision.
