Research from Moneysupermarket.com suggests that increased competition between lenders has driven down the costs of both fixed-rate and tracker mortgages. This has left rates at their lowest level since the Bank of England cut its base rate to 0.5% in 2009.

Another financial specialist, Moneyfacts, goes further, reporting that rates are now lower than they have been since their records began in 1988. Behind the falls lies the greater availability of funding for mortgages in the capital markets, and the perception that the Bank of England is in no mood to raise rates.

Of course, the story is always more complicated than average figures suggest. The loan-to-value ratio – the proportion of a property’s value which a lender is prepared to lend (and at what cost) – is a crucial factor. That’s particularly clear to first time buyers who, despite the availability of some higher LTV deals, are still saving a 20% deposit on average.

Currently in the spotlight are standard variable rates (SVRs) – the default rates which borrowers shift onto on expiry of a time-limited mortgage deal. A recent report by consumer watchdog Which? suggests lenders have been slow to bring down such rates in tandem with the fall in Bank of England base rate.

With that in mind, homeowners can find they are paying a higher interest rate than they need to. A detailed review of current mortgage and other monthly, debt repayments can be a valuable exercise for many. Borrowers are individuals, with differing credit histories and circumstances. And with lenders varying in their requirements, as well as in the competitiveness of their products, a broker such as Go Remortgage covering the whole market can clarify the choices involved.

The split has occurred between members of the Monetary Policy Committee (MPC), which sets the Bank of England’s influential base rate, known as “Bank rate”. On one side are those who say that a rise in rates is needed to tackle high inflation, currently running at 4.5%. They argue that the Bank’s “wait and see” approach risks undermining its credibility – with the result that the public will begin to anticipate higher prices. Higher wage demands could push up prices further, leading to an inflationary spiral.

Speaking to a committee of MPs, the Bank’s deputy governor Paul Tucker said he was “worried about an upward drift in inflationary expectations.” And he noted the danger of repeatedly putting inflation down to “one-off factors”.

Other MPC members stress that a rise in rates now could de-rail the economic recovery. That’s already looking fragile, with the news this week that incomes are facing their tightest squeeze in decades – and with a growing list of retailers in difficulties. Bank governor Sir Mervyn King suggested that rates would be kept on hold until unemployment starts falling.

Mortgage borrowers benefitting from the long period of record-low rates may take comfort from that view – even if the background is a weak economy. Yet many will fear that, with the situation changing month to month, they could face higher interest rates before long. A recent investigation by Which? warned that standard variable rates (SVRs) in particular could increase by a margin above and beyond a rise in Bank rate. For borrowers looking for repayment security in the medium term, remortgaging with a 3-year or 5-year fixed rate deal may look an attractive prospect.

Data from the Office for National Statistics show that families saw the biggest squeeze on their budgets for 30 years as real incomes fell 2.7% in the year to the end of March 2011.

Against that background, news suggesting that house prices have stabilised will be welcomed by many. A recent poll of polls showed that the average price of a home held firm in May at £173,379. Meanwhile, respected forecasters the Centre for Economics and Business Research have gone so far as to suggest that prices could rise 16% by 2015.

Given the pressure on monthly budgets, the investment we have made in our homes can be a vital basis for tackling some of today’s financial challenges. A secured loan, for example, can be a cost-effective means of paying for home improvements or a new vehicle – or of consolidating other debts.

Using our property as security always requires careful thought of course. But a secured loan often proves suitable for someone who is running their own business, or the borrower who does not have an unblemished payment record. A reputable broker such as Go Remortgage, can access the full range of lenders and highly competitive rates.

According to housing information specialist Hometrack, demand went up by 10.6% in June, as the market revived after a sluggish May. Hometrack’s director of research, Richard Donell, said part of the explanation was the willingness of sellers to drop their asking price to secure a buyer.

“While average prices have slipped back by one per cent over the month, sales volumes have increased off the back of higher demand and greater realism over achievable prices on behalf of sellers,” he explained.

The major monthly surveys show flat or “modestly falling” prices, but behind the headline figures lie big variations by region and sector.

The tendency of London to defy the national trend with price increases has been borne out by a host of surveys. A further twist to the story is that so-called “prime” property prices – i.e. those in the top 25% of the market by value – are on the up in other areas of the UK.

The latest Primelocation.com Prime Index shows that the average price in this sector rose to £463,153 in May – higher than at any time since the creation of the index in 2007. And while London prices actually showed a minute fall, other regions saw rises, with Yorkshire and Humberside standing out, along with Wales.

In spite of the rocky economic road travelled in the last three years, many homeowners retain sufficient equity in their properties to remortgage and raise extra funds should they choose to do so. Using your home as security always needs careful consideration. But today’s low mortgage rates can pave the way to reorganising household finances – or paying for that big, one-off expenditure.

The poll was conducted for the Bank of England, whose Monetary Policy Committee (MPC) has actually kept Bank rate (often called “base rate”) on hold at a record low of 0.5% since March 2009.

The misunderstanding is perhaps not as strange as all that. After all, the interest rates paid by most of us, or “household interest rates”, do fluctuate – and often fail to reflect falls in Bank rate. The average credit card rate is currently listed as 16.72% by the Bank of England. And a recent report by consumer watchdog Which? claims that many mortgage lenders have failed to pass on the benefit of lower rates to customers paying their SVR (standard variable rate).

Nevertheless, the outlook for borrowers remains encouraging, with one economist at a leading US bank claiming that the MPC might not raise rates till late 2013. That will dismay those who fear an inflationary spiral, with higher prices leading to higher wage demands – leading to further price increases. The Bank of International Settlements (banker to the world’s central banks) is the latest influential body to call for an end to the era of rock-bottom rates.

In the meantime, given the range of interest rates being charged, homeowners are being encouraged to review their current mortgage deal – to make sure they are making the most of today’s low rates.

For many looking at remortgage options, the chance to raise additional funds – to consolidate debts or to pay for home improvements – is an attraction. Fixed-rates will continue to appeal to those who do not wish to take a chance on the MPC continuing to sit tight; others will be content to shadow Bank rate with a tracker deal.

Although consumers put £6.8 billion of new spending on their credit cards in May, more the £7 billion was paid back. Commenting on the figures, BBA statistics director David Dooks said, “Money is still tight and people continue to pay off debt rather than save or borrow.”

But despite these repayments, net credit card lending actually went up by £100 million. That’s because of the interest added to balances left unpaid on cards – at interest rates which the Financial Times describes as “steep”.

Calculating average credit-card rates is an inexact science, but the latest figure given by the Bank of England is 16.72%, while one financial research company puts the average APR at 18.6%.

Whittling down balances on credit and store card can be quite a task, particularly if you have to juggle a number of monthly payments. Financial experts warn that the tactic of paying off the minimum each month can mean that a relatively modest debt of, say, £3000 can take decades to clear because of accumulated interest.

An alternative strategy is to take advantage of one of the remortgage deals currently available, and raise additional funds to consolidate other debts. Staking your home as security always requires careful thought. But with interest rates close to historic lows, cutting monthly payments can be a big attraction, particularly in today’s economic climate.

According to the BBA, the number of loans approved for house purchase, remortgaging and withdrawing equity all rose slightly in May.

That’s the suggestion after latest signals on rates from the Bank of England, following upbeat news on the housing market from the respected Centre for Economics and Business Research (Cebr).

According to the most recent Chesterton Humberts/Cebr ‘Poll of Polls’,  house prices held firm in May, leaving the value of a typical home at £173,379 and ending seven consecutive months of falling prices.

And in a separate piece of research, the Cebr has predicted that by the end of 2015 average prices will be 16% higher than they are now. With a shortage of available homes, worsened by the slowdown in the building industry, it’s thought that demand will outstrip supply, pushing prices up.

Meanwhile, published minutes from this month’s meeting of the Monetary Policy Committee (MPC) have dampened expectations of a rise in Bank rate any time soon. New MPC member Ben Broadbent joined those in favour of keeping rates on hold at 0.5%, increasing the majority to 7-2.

Underpinning the shift in mood are fears for the UK economy. The MPC even discussed creating more money to buy assets (so-called quantitative easing) – suggesting that prospects for economic growth have weakened.

In that climate, continued low mortgage rates and improvement in the housing market will be particularly welcome. They can also give homeowners scope to raise additional funds – perhaps for home improvements, or to consolidate higher-interest debt. Given the range of remortgage deals available, and variations in the approach of lenders, the expertise of a broker such as Go Remortgage can be invaluable in locating the deal to suit individual requirements.

Standard variable rates (SVRs) are the headline rates which many borrowers shift onto when their original mortgage deal lapses. According to Which? thousands of those on their lender’s SVR could face financial difficulties when interest rates begin to rise.

Research by the consumer organisation shows that the vast majority of lenders have failed to reflect base-rate cuts by the Bank of England in their standard variable rate products. In fact, one in five lenders has actually increased rates during the period in which Bank rate has been held at 0.5%.

Lenders point out that SVRs depend ultimately on attracting deposits from savers rather than Bank rate. They also highlight the need for banks to repair their balance sheets after the credit crisis. But analysts warn that SVRs could well rise by more than an eventual increase in Bank rate.

The controversy is another factor prompting homeowners to take a close look at their remortgage options – especially given the other financial challenges facing households. But the range of deals, with trackers, fixed-rates of different periods, offsets and the rest, can be bewildering. And it’s here that a broker like Go Remortgage, with access to the whole market and the most competitive rates, can be of particular use in helping to find a preferred deal.

The Council of Mortgage Lenders (CML), reports that gross lending totalled some £11.3 billion, 12% up from the £10.1 billion lent in April, and just ahead of the level for the same period last year.

It’s reckoned that the appetite for remortgaging is continuing to bolster the figures, but, according to Bank of England data, approvals for house purchase are slipping below levels seen at the same point in 2010.

The CML sounds a cautious note, suggesting that interest in remortgaging could tail off as expectations of an interest rate rise recede. Commenting on the figures, CML director general Michael Coogan said, “The likelihood seems to be for essentially flat levels of lending over the next couple of months.”

Speculation that interest rates will remain low for longer than expected has been prompted by gloomy economic news. In recent days, slowing growth has been reported in both the manufacturing and service sectors. Any increase in rates, it’s argued, could only make things worse for businesses – partly by hurting the already hard-pressed consumer.

What that does suggest is that downward pressure on mortgage rates will continue – with opportunities for homeowners to review their current deal. Some may judge that rates close to historic lows will persist for some time, and opt for a tracker linked to Bank rate. Others may think that, with inflation running at 4.5%, it would be wise to look ahead to a potential rise in rates and choose a fixed-rate deal.

In a speech to top City figures at the Mansion House, the newly knighted Sir Mervyn highlighted the role of the record-low Bank rate in keeping the economy afloat since the financial crisis. And he signalled that, with low wage-growth and restricted lending by the banks, inflation was likely to fall back – making damaging rises in rates unnecessary.

Nonetheless, the governor and his allies on the Monetary Policy Committee (MPC) face strong pressure to raise rates, from both within and without the committee itself. Critics say that, with inflation above target for eighteen months in a row, the Bank’s interest rate policy risks losing credibility. They fear demands for higher wages could fuel further inflation, making big hikes in rates necessary later.

The governor stressed that the timing of moves towards more normal borrowing costs were “impossible to know” at this stage. That’s bound to fuel speculation that record low interest rates may last beyond August and even November – seen by analysts as likely dates for a first increase.

Competitive deals from lenders mean that those considering remortgaging their property still have the chance to borrow on a more cost-effective basis – perhaps by lowering monthly outgoings through debt consolidation. Those looking for security may opt for medium-term fixed-rate deals, to guard against any unpleasant surprises on rates.

According to the residential specialist’s index, average rents in England and Wales rose by 0.5% in May, leaving the typical monthly payment at £696 – 4.4% higher than a year ago. And London saw much bigger increases, with substantial rises too in the North East and East Midlands.

Behind the figures lies an upswing in demand for rented property which reflects the difficulties faced by purchasers. First time buyers in particular are still having to stump up deposits averaging 20% according to the Council of Mortgage Lenders, while inflation is eating away at savings.

Despite the subdued property market, higher rents have helped revive interest in the buy-to-let sector, with signs of growing competition among lenders to provide appropriate products.

Finding the right mortgage, of course, is key for the first time buy-to-let landlord. For more experienced investors, there are opportunities to review, and improve, financial arrangements. That can mean a greater benefit from those higher rents – or a chance to add to a property portfolio.

And here the expertise of a broker like Go Remortgage can save time and frustration by locating a remortgage deal suited to individual requirements.

According to the Royal Institution of Chartered Surveyors (RICS), a growing number of property professionals judged that prices in their area fell during May, while activity levels were subdued.

The extent of price falls shouldn’t be overplayed. The vast majority of surveyors who reported declines placed them in the 0 – 2% category. And as ever, London bucked the trend, with a healthy majority of surveyors recording rising property prices.

More surveyors also reported increased sales rather than a reduction – but only by a small margin (5%). And while more properties came onto the market, RICS numbers suggest that fewer were being snapped up by purchasers.

Commenting on the figures, RICS spokesperson Ian Perry said, “Uncertainty over the economic outlook remains as important as the availability of mortgage finance in depressing demand.”

On the economic front there is mixed news, with an encouraging drop in the jobless total being reported this week – along with falling sales in the shops. That makes the future path of interest rates even harder to call, with higher inflation existing side by side with a weak consumer sector.

Yet the fact that house prices have held up better than expected in the downturn means that many homeowners still have scope to remortgage and increase borrowing if they wish. And low interest rates can make consolidating other, higher-interest debts an attraction.

Furthermore, an experienced broker like Go Remortgage can help borrowers chart a course through the complexities of today’s mortgage market.

Figures from the Council of Mortgage Lenders (CML) show that there were 40,900 loans worth £5.9 billion in the month, as against 37,500 worth £5.5 billion in March. But the total was still down on that seen 12 months previously.

Meanwhile, April’s remortgaging levels were lower than in March – but still higher than those seen a year earlier.

Calling the increase in lending “a good sign”, CML director general Michael Coogan stated that “the market continues on a stable footing”. But he warned that the economic outlook, coupled with Bank of England mortgage data, suggested that the market would remain subdued.

The CML’s figures show some improvement in the lot of first time buyers, who saw the number of loans made to them increase by 8%. They also borrowed a slightly larger proportion of their property’s value – 80% on average – than previously.

Borrowers considering a remortgage deal are still coping with mixed signals on interest rates. Downbeat economic news has led many to downplay the likelihood of rate rises in the immediate future.

But yesterday’s news that inflation is unchanged at 4.5% will do nothing to silence calls from those such as Bank of England rate-setter Martin Weale, who believe that an early rise is necessary.

Martin Weale of the Bank’s nine-strong Monetary Policy Committee (MPC) also warned homeowners and businesses to prepare for significant rises in the cost of borrowing over the next two years.

The Bank’s key interest rate has been held at its all-time of low 0.5% since March 2009. But with inflation (the rise in the overall level of prices) persistently above its official target, many have argued that the MPC must take action. Their big fear is that the public will begin to take high inflation for granted, and demand higher wages to compensate, pushing up prices even further.

Mr Weale is not alone in foreseeing interest rate rises in coming months. They are built into City calculations – as well as the Bank’s own economic forecasts. But he thinks the process should start now, to avoid bigger rate hikes later.

His comments will give food for thought to those weighing up mortgage choices or considering a remortgage deal. In recent weeks rate rises appeared to slip down the agenda because of doubts about the UK’s economic recovery. With growth slowing, it was felt that higher borrowing costs would only add to the pressure on business and the consumer.

Borrowers looking for security have a range of fixed-rate options to choose from, while broker Go Remortgage can access some of today’s most competitive deals. And with credit-card rates, for example, at a four-year high according to one analysis, there are also opportunities to consolidate debt and cut monthly payments.

An extensive survey shows that the bigger the company, the less likely it is to offer flexible working conditions to its employees. It seems that smaller firms are keen to develop new working methods, often involving new technology. And they are also prepared to be more flexible about working hours.

In today’s financial climate, however, funding the purchase of new equipment and keeping up to date with technology can be tricky, to say the least. And with consumer demand still weak, businesses often need all their ingenuity to stay afloat.

What can help is the expertise of a mortgage broker with wide commercial experience. If you are looking to develop your business, a secured loan could be the route to buying improved IT or equipment – or consolidating business debt.

A commercial mortgage could enable you to acquire new business premises – and save on rent payments. And when time is of the essence, a fast bridging loan could be the key to securing a business opportunity, or provide a vital cash injection.

With access to the whole mortgage market, Go Remortgage can bring you news of the most competitive deals available.

This month’s decision by the Bank’s Monetary Policy Committee (MPC) had been widely trailed, after a series of indicators suggested the recovery might by stalling. This week the International Monetary Fund (IMF) became that latest body to downgrade the UK’s growth forecast – to 1.5% – with the squeeze from cuts and tax rises expected to impact already weak consumer demand.

The news from the MPC is as welcome as ever to borrowers with variable rate mortgages, and in particular to those with deals tracking Bank rate. Downward pressure on interest rates and growing competition among lenders mean that there are also attractive remortgage deals on offer.

Speculation is mounting that rates may stay on hold for the rest of the year, particularly after the departure of Andrew Sentance from the MPC. He had argued forcefully for a rate rise to curb inflation.

But the economic news has not been all one way, with manufacturing and employment holding up better than expected. And with inflation running at 4.5%, many analysts believe that the Bank of England will not hesitate to raise rates as soon as it looks safe to do so, with August and November being touted as potential dates.

On that basis, mortgage borrowers may well seek to take advantage of current rates and opt for a 3 or 5 year fixed-rate deal to counter any sudden increase in repayments.

At what is traditionally a busy time of the year for the housing market, prices rose by just 0.1% on average, to leave the price of a typical property at £160,519.

But comparison of the three months from March to May with the previous three (thought to give a better indication of the underlying trend), shows a 1.2% fall. “House prices continue to drift modestly downwards”, is the verdict of Halifax housing economist Martin Ellis.

Pressure on household incomes from tax rises and inflation, coupled with uncertainty about the economy, is thought to be keeping the lid on prices.

Yet there are positive signs, according to the lender. More sales in proportion to the number of properties left on agents’ books have been reported by surveyors. Meanwhile, a small but significant rise in the number of mortgages approved for house purchase has been recorded by the Bank of England.

Low interest rates remain key, of course. These have helped prevent the flood of properties onto the market, and the plunge in prices some had predicted.

Meanwhile, with many homeowners retaining equity in their homes built up over years, there can also be scope to remortgage and borrow additional funds. Broker Go Remortgage, covering the whole market, can access deals at the most competitive rates.

That can give homeowners the chance to reassess current financial commitments –and consolidate other debts by bringing them within their new mortgage deal.

That’s the suggestion to emerge from a survey of landlords by LSL Property Services. According to the figures, 49% reckon now is a good time to invest in property for rental, while almost 9 out of 10 intend to maintain or add to their portfolios over the next twelve months.

Rising demand from tenants is reckoned to be behind the optimism revealed by the survey. Here it has to be said that problems faced by first time buyers are a key factor.

The larger deposits required by lenders since the credit crisis, and stricter criteria imposed when assessing borrowers, have led to the perception, at least, that buying is not viable for many. A study commissioned by the Halifax recently dubbed this group “Generation Rent”.

Lenders are seeking to counter such attitudes and develop suitable mortgage products. But, with the demand for rented property running ahead of supply, rents have risen sharply in many areas – to equal all-time highs, according to LSL. Combined with continued low interest rates on mortgage deals, that adds up to a tempting proposition for investors.

Financing that buy-to-let purchase is crucial, of course, and here LSL’s research suggests that more suitable products are starting to become available. A specialist broker, such as Go Remortgage, can save time and effort by researching the market – while a cheaper remortgage deal can pave the way to expanding a buy-to-let portfolio.

Latest statistics from the Bank of England show that the number of loans approved for house purchase fell in April by a thousand or so, to 45,166. Nevertheless, the total amount of mortgage lending secured against dwellings remained in line with the average for the previous six months, at £11.2 billion.

Analysts suggest that the picture for the month was distorted by the clutch of bank holidays around the time of the Royal Wedding, with attention on other things than property transactions.

Even so, the mutuals seem to have bucked the trend, with the Building Societies Association (BSA) reporting a leap in gross mortgage lending of 19%, and a rise in approvals.

Meanwhile the Council of Mortgage Lenders (CML) is forecasting stability in the mortgage and housing markets over the coming eighteen months. The squeeze on households and doubts about the economy mean that the number of property transactions will stay at subdued levels. But despite challenging conditions in the mortgage market, the CML has raised its forecast for gross lending by £5 billion to £140 billion this year.

The flip side of the fragility of the economy is that interest rates look set to remain low by historical standards, with rates on a “gentler upward trajectory” than had been expected. An experienced broker, like Go Remortgage, can help borrowers find a clear path through the complexities of today’s mortgage market – and access the most competitive rates on offer.

FSA data shows that the total number of interest-only borrowers went up by almost 370,000 in the three years after the financial crisis hit in late 2007. According to an analysis by The Daily Telegraph, most are people who have switched – because of financial difficulties and the need to minimize repayments to avoid a default.

With an interest-only loan, the borrower makes interest payments while leaving the amount originally borrowed – the capital sum or principal – unchanged.

The trend is an indication of the current squeeze on household incomes, and has occurred despite moves by the FSA to discourage interest-only borrowing.

The worry is that interest-only borrowers will be left high and dry with a large debt and no alternative but to sell up at the end of the mortgage term. According to some analysts that amounts to renting a property – but with the risks and obligations of ownership. Lenders such as Halifax are increasingly insisting that interest-only borrowers have an acceptable repayment vehicle, such as a savings plan, in place.

For borrowers considering a switch to interest-only, or who have made the move as a temporary fix, a good remortgage deal may offer an alternative.

Those who are juggling a number of monthly debt repayments may find that they can take off some of the financial pressure by consolidating them as part of their mortgage. And if your original mortgage deal has lapsed, it makes sense to ensure that you have access to the best new arrangement for you – with the most competitive interest rate available.

According to The Times, leading house builders such as Taylor Wimpey and Barratt have been in discussion with the Council of Mortgage Lenders and major banks, including Lloyds and Santander.

It is understood that one plan being considered is the creation of a fund to which house builders would contribute. This would be used to back mortgages of up to 95%, helping first time buyers in particular. Before the credit crunch, 95% or 100% mortgages were commonplace.

Some critics may fear a return to what they regard as reckless lending – but that looks a distant prospect given the capital requirements placed upon banks and risk- aversion in the wake of the crisis.

The news is timely, given a new study commissioned by Halifax showing that almost two thirds of potential first time buyers fear they will never own their own property. Yet according to the study, based on a survey of 8,000 people by the National Centre for Social Research, more than three quarters still aspire to home ownership.

In recent years the requirement for large deposits has been an obstacle for many first time buyers. The survey suggests another factor is the feeling that banks are reluctant to lend. Many potential purchasers are put off by thoughts of the stress involved in making an application, combined with a perception that rejection is inevitable.

Here, an experienced broker like Go Remortgage can help, by homing in on the competitive mortgage deals available, and making the application process as speedy and trouble-free as possible. Lenders also point out that they are bringing forward higher loan-to-value deals, and that the perception of blanket rejections is mistaken.

The British Chambers of Commerce (BCC) predicts that the Bank of England will move to raise rates in August, in an effort to curb inflation. And that’s despite revised economic forecasts, with the BCC becoming the latest in a long line of organisations to downgrade estimates for UK growth in 2011 and 2012.

The Bank’s base rate has been on hold for more than two years at 0.5%, but with inflation already well over double its official target of 2% and expected to go higher, there have been many calls for the Bank’s Monetary Policy Committee (MPC) to act.

The BCC suggests rates could be as high as 2.75% by the end of 2012, beginning with a quarter point rise this summer. That would certainly mean significantly higher mortgage rates and monthly repayments for many households.

Meanwhile, the BCC has reduced its growth forecasts slightly, with growth now predicted to reach a sluggish 1.3% this year, and 2.2% in 2012. International economic body the OECD also cut its forecasts last week, and urged the Bank of England to raise rates before the end of 2011.

Such calls are bound to meet stiff opposition from those who fear that raising rates too early would heap too great a burden on already hard-pressed households, and risk economic stagnation.

But firmer expectations of rates rises will also encourage homeowners to re-examine their mortgage options. Many could seek to take advantage of the competitive fixed-rate remortgage deals currently available, to lock in some of the benefits of today’s low interest rates.

Research from the Yorkshire and Clydesdale banks shows that 84% of those making their first property purchase rely on the so-called “bank of mum and dad” for financial assistance. That’s more than twice the level recorded in 2005.

Moreover, joint-income purchases, with a partner or friend becoming party to the mortgage, represent almost half of transactions so far this year.

The increasing need for an additional contribution reflects the larger deposits required and more cautious approach taken by lenders since the credit crunch.

At the same time low interest rates means that mortgage payments have looked increasingly affordable in recent years, while rents have tended to rise. Figures from the Halifax indicate that the average annual mortgage payment fell 21% between March 2008 and March 2011.

Meanwhile, higher-loan-to value mortgage deals have gradually become more available once again, with lenders offering to lend 85% or 90% of a property’s value at competitive rates. A handful of lenders have also begun to offer 95% deals, sometimes targeted at borrowers who save regularly with them.

It looks likely the bank of mum and dad will be staying in business for some time to come, however.

Statistics from the lender show that average prices rose by 0.3% to leave the typical home worth £167,208. The increase comes after a slight fall in April, and contributes to a rise of 0.6% for the quarter – often taken as a more reliable measure.

As always, it’s worth pointing out that a multitude of variations lie behind the average, with the buoyant state of the London property market helping to boost the headline figure.

Commenting on the figures, Nationwide’s chief economist Robert Gardner explained that the “modest pace of house price growth” mirrored the “lacklustre” state of the economy.

But he suggested that the outlook was brightening, with business surveys indicating that the economy was continuing to grow, though at a modest rate. Other positive signs for the housing market were rising employment and a more favourable ratio between house prices and earnings – meaning that properties were becoming more affordable.

Nevertheless, a more spectacular upturn looks unlikely. That’s partly because growth is expected to come from business investment and exports, rather than the consumer – so it could be some time before hard-pressed households see much benefit.

The Nationwide figures confirm that the housing market has so far escaped the dramatic falls some were predicting not so long ago. A recent survey by agents Your Move indicates that many homeowners underestimate how much their property has increased in value since they bought it.

That suggests there could be scope for many to draw on equity built up over the years, and take advantage of the competitive remortgage deals now available.

According to the BBA (British Bankers’ Association), there was some growth, with net mortgage lending – taking into account repayments – increasing by 2.2% in the year to April.

While fewer loans were approved than in March, gross mortgage lending was in line with the average for the last six months, at £7.9 billion. Graphs showing the pattern of lending since the market peak in 2007 tell of a big decline – though with plenty of intervening peaks and troughs.

BBA statistics director David Dooks suggested that uncertainty about the economy had “entrenched a wait-and-see attitude” among borrowers, but that banks were still able to meet the need for home loans.

That may come as news to first time buyers, and others facing a more cautious attitude from lenders, partly dictated by tighter regulation in the wake of the credit crunch and recession.

But with interest rates still at or close to historic lows, opportunities for borrowers remain. The changing range of remortgage deals available in particular, offers homeowners the chance to reassess their financial commitments – and check whether they can save money.

The Organisation for Economic Cooperation and Development (OECD) has urged the Bank of England to follow the example of the European Central Bank, and act to raise rates by the end of the year. Economists fear that inflation may become entrenched, as workers demand higher wages to cope with rising prices.

The OECD’s stance may not win it many friends in the UK. But with inflation apparently heading for 5%, such calls are bound to continue.

Recent remarks by the Bank of England’s Chief Economist, as well as the Governor himself, also suggest it would be wrong to discount rate rises in the medium term. The timing is crucial – but there is enough uncertainty to tempt mortgage borrowers to look at fixed-rate deals, with a view to locking in some of the benefit of today’s very low rates.

The difficulty for the Bank is the steady stream of news indicating that the consumer is already feeling the squeeze, leaving much of the retail sector, as well as the building industry, under pressure. Latest figures show that, despite a boost from the Royal wedding and warm April weather, consumer spending has fallen for the second quarter in a row, by 0.6%.

That’s holding back the recovery – and part of the reason for downgraded growth forecasts for the UK.

Not surprising, then, that yet another senior Bank of England official, Paul Fisher, has said that, “Putting up interest rates could be exactly the wrong thing to do at this precise moment.” Yet this hardly amounts to a firm prediction for the future. Worth noting too that the economic news is not all bad, with a boost to manufacturing output of 1.1% as exports are fuelled by the low pound.

That’s among findings from new research by Moneyfacts. They calculate that the typical rate on a £5,000 loan is now 12.7% – the highest seen since May 2000.

Behind the averages lie a wide range of different rates, with the cost of a £5,000 loan varying by more than a £1100, depending on the product. Advising customers to “shop around”, Moneyfacts cautions that lenders are only required to offer representative loan-rates to half of successful applicants.

What lies behind the rising costs of loans? According to Moneyfacts spokesperson Michelle Slade, it reflects the added risks attached to unsecured lending, as against a mortgage. With households under financial pressure, the risk to lenders of not being paid back increases: “This is passed onto customers through higher loan rates,” Ms Slade explained.

The result is the wide spread between interest rates paid by borrowers. Bank of England figures show that the average credit card rate is 16.73%; on overdraft lending 19.08%; and on a 5-year fixed-rate mortgage (for 75% of a property’s value) 5.1%.

Of course, there are many other, individual factors to take into account here – and average rates are a blunt instrument for making comparisons. Using your home as security always requires careful consideration, while any fees or penalties also need to be included. Risk aversion is an attitude common to most forms of lending now – and one shared by borrowers too.

Yet for many, a mortgage or remortgage deal can offer a path to more affordable monthly outgoings, and simpler financial arrangements – while a fixed-rate deal can offer a measure of protection against rate rises in the future.

That’s one conclusion to emerge from a survey by estate agent Your Move. According to the research, 8 out of 10 homeowners expect house prices to rise in the next 5 years, with just 11% anticipating a fall.

At the same time, many seem to have taken on board the current picture of a flat or gently falling market, reflected in recent figures from major lenders. The proportion of homeowners expecting house prices to rise over the next 12 months has fallen by a half over the past year – to 37%. Homeowners have also trimmed expectations of price rises in the longer term.

For this year, a modest average fall of 0.6% is predicted by owners themselves. Worth pointing out, though, that big regional and local variations mean that such average figures can be misleading.

What the research does highlight is that, for many, property has performed very well as an investment. Despite the recession, a large majority believe their property has held its own or gained, with less than a quarter believing it has fallen in value. The typical homeowner bought their home just over nine years ago and believes it has gone up in value by 72%.

In fact, average gains have been even higher than that, according to house prices indices. Your Move suggests that homeowners may be underestimating the value of their homes by £10,000 or more.

With today’s financial pressures, many homeowners may at least feel they have built up a reasonable proportion of equity in their property. And that can give scope to take advantage of today’s remortgage deals, to consolidate debts – or finance improvements which could themselves add value in future.

And that could leave many homeowners needing to take a close look at their mortgage options – and other financial commitments – in the next few months.

The Bank’s Chief economist, Spencer Dale has warned that interest rates are set to rise over the next two years, and that many of us will feel more pressure on our household budgets as a result. His remarks echo those of Business Secretary Vince Cable, who has spoken of the squeeze on UK living standards from the emerging Asian economies.

Mr Dale was one of three members of the nine-strong monetary policy committee (which sets the Bank’s base rate) to vote for a rise at the last meeting. The decision came before the announcement of the latest rise in inflation, to 4.5%.

The chief economist said he was concerned about the impact of rate rises on families – but argued that the credibility of economic policy was at stake. He did not discount a quarter-point rise in Bank rate this year.

The latest twist in the debate about interest rates could refuel the trend in remortgaging evident at the start of year – with fixed rates being the preferred option for many. With the burden of consumer debt weighing on households, the opportunity to reduce monthly outgoings can be a particularly welcome one.

And while the mortgage market is not immune from pressures on the economy as a whole, a leading broker such as Go Remortgage can access deals benefitting from today’s lowest rates.

Now’s the time of the year when the thoughts of householders traditionally turn to extensions and refurbishments. But current difficulties in the housing market are giving added impetus to the plans of many of us.

The expense of moving, and uncertainties about finding a buyer at the right price, are giving many homeowners pause. Staying put and getting the best out of an existing property can be a more viable and cost effective alternative. It can also make your home a more attractive buy when you do come to sell.

If that’s your object, improvements need to be carefully targeted. Experts suggest that additional rooms in particular can add value to your home. With space in the garden you can even go up two stories, subject to planning permission. A loft conversion producing an extra bedroom, or an additional bathroom, are more likely to attract buyers than a conservatory, aesthetically pleasing though that might be.

When you’re working within a tight budget, redecoration (generally in a neutral shade) can create a successful first impression. Hardly surprising that this remains the most popular improvement, according to surveys.

Finance is a major issue in itself of course, with a recent report from Moneysupermarket.com suggesting that some of us are resorting to credit-card borrowing to pay for improvements.

Drawing on equity built up in the property itself, and so making use of the asset you are planning to improve, has long been the preferred route for many. With current average mortgage interest rates close to historic lows, many homeowners will take that option.

And the range of competitive remortgage deals available means improving your home can go hand in hand with reorganising your finances.

The Forum of Private Business was presenting its views on the Business Growth Fund. That’s the new £2.5 billion initiative which is part of the deal struck between the government and the major banks last autumn. The fund is aimed at so-called medium sized businesses, turning over between £10million and £100 million.

While welcoming the new initiative, senior policy adviser Alex Jackman said it should not be allowed to overshadow the “real problem – the lack of affordable lending being made available by banks to start-ups and other small businesses.”

With the variety of challenges facing small businesses, today’s mortgage market can provide scope for those seeking to start, expand or support their business.

If you’re looking to acquire premises, a commercial mortgage can help secure a valuable asset – and even save you money, if you are currently paying rent. A secured commercial loan could be the right vehicle for consolidating business debts – or the means of buying up-to-date equipment.

If you have an established business, a commercial remortgage could enable the release of capital for expansion – or secure a better interest rate on existing debt.

And in today’s competitive climate, a fast bridging loan could provide an injection of cash short term, or provide the funds for that one-off, time-limited deal.

An experienced broker, such as Go Remortgage, with access to deals across the market, can provide the required facts and figures – along with news of the most competitive interest rates.

According to the Council of Mortgage Lenders (CML), gross mortgage lending fell to an estimated £9.8 billion in April, after rising to £11.4 billion in March.

Commenting on the figures, CML chief economist Bob Pannell bemoaned what he called “statistical noise”. The extended holiday period around Easter had made the figures hard to read, “at a time when it would useful to gauge the resilience of house purchase demand to economic uncertainties and the pressure on household incomes.”

The April lending total is 5% down on the £10.3 billion reached in the same month in 2010.

In a recent briefing, the CML cited a continued shortage of funds available to lenders, coupled with risk aversion in the system, as chiefly responsible for problems in the mortgage market.

The background to the figures is some decidedly mixed economic news, with improved unemployment figures and a surge in retail sales surprising analysts – along with higher inflation. Nonetheless, according to the CML, it “seems unlikely that interest rates will rise much, if at all, this year.”

With continued low interest rates and signs of life in the housing market, there will opportunities for those looking to remortgage or move over the coming months. A broker like Go Remortgage can bring clarity to the changing range of deals available.

That seems to be the message of a number of developments this week – despite a surprise leap in inflation to 4.5% in April. Most recently, minutes of the MPC – the Bank of England committee responsible for setting the Bank’s base rate – show that members were again divided 6-3 on whether to raise interest rates.

The case of the majority, who believe that a rise in rates now would be too damaging to the economy, is likely to be strengthened by a change in personnel on the MPC, with the departure of Dr Andrew Sentance. He has voted for a half-point rise in rates to stem inflation now – and prevent bigger rate hikes down the track.

The unexpected jump in inflation may give the MPC pause – as well as adding to the pressure on household budgets. But, in his letter to the Chancellor of the Exchequer explaining the increase, Bank governor Mervyn King argued that inflationary pressures are temporary. With high unemployment and no sign of a clamour for higher wages among those in work, Mr King’s worry is that an early rise in rates would squeeze the economy – and end up dragging inflation below its 2% target.

It has to be said, though, that analysts are still building interest rate rises into their calculations, perhaps in November. And the economic data isn’t all bad – with a welcome fall in unemployment during the first quarter of 2011.

Homeowners in a position to do so may try to time the point when they remortgage, perhaps with a 3-year or 5-year fixed rate deal, to the precise moment when mortgage rates are at their lowest levels. Others will focus on the security and simplicity of a dependable monthly payment.

The Council of Mortgage Lenders (CML) was focusing on the problems of first time buyers in particular. But the organisation argues that this issue simply reflects conditions in the market as a whole.

The wider problem, according to the CML, is pent-up demand for mortgages – and the inability of lenders to meet it. Since the credit crunch there has been a big fall in mortgage lending, from £363 billion in 2007 to £136 billion in 2010, with a similar level predicted this year.

The recent upturn in remortgaging is welcomed by the CML, but it points out that remortgaging represented a bigger share of a much larger market three years ago.

One factor affecting first time buyers in particular is the move away from higher loan-to-value deals since the credit crunch, with the virtual disappearance of the 95%-plus deals of the past. According to the CML, this again reflects problems in the wider market.

The shortage of funds available to lenders is key – with a reluctance to take risks, the stricter requirements of regulators, and the fear of falling house prices all playing a part. The CML does welcome innovations by some lenders – usually involving sharing risk through insurance or guarantees from parents and others.

In spite of the difficulties noted by the CML, there are signs of greater competition in the market – and opportunities for borrowers, to take advantage of today’s low interest rates. A broker like Go Remortgage, with access to the full range of deals and knowledge of lender’s requirements, can help borrowers negotiate the challenges.

The Consumer Prices Index rose to 4.5% in April – more than double the government target – having dropped back to 4% in March. The high price of energy and of imported commodities such as foodstuffs helped fuel the increase.

The dilemma for the Monetary Policy Committee – the Bank of England’s rate setters – is that economic recovery is looking decidedly sluggish. While there are hopeful signs in the corporate sector, the consumer is feeling the pinch, with tax rises, weak earnings growth – and a burden of debt. That’s being reflected in poor sales in the high street.

In a special report, economic forecasters the Ernst and Young ITEM Club have predicted that household spending will remain below pre-recession levels for the next two years, and grow only slowly after that.

The fear is that a rise in rates now would do little to stem inflation while squeezing hard-pressed households even further – damaging living standards and the economy.

The conclusion being drawn is that a rise in interest rates will need to be gradual – but with inflation heading for 5%, it certainly cannot be ruled out. In the meantime, borrowers looking to remortgage will continue to benefit from rates close to record lows.

One tendency in recent months has been to opt for fixed-rate deals, and the security they provide. Other borrowers will look carefully at the tracker deals on offer, feeling that the interest-rate debate has some way to run before a return to more typical rates – and more prosperous times.

That’s the implication of a number of recent surveys, with latest research from Halifax suggesting that mortgage payments have fallen by a fifth since 2008. While mortgage borrowers have seen their annual payment drop by £956 on average, a host of other bills have risen.

According to the research, utility bills in particular have gone up almost as fast as mortgage payments have gone down. The average cost of running a home is now typically well over £9,000 a year, and as high as £11,783 in London.

For many homeowners, falls in mortgage interest rates have offset the increase. Bank of England figures show a typical 2-year fixed-rate has fallen by more than 2% in the last three years. Meanwhile those in rented accommodation have seen costs rise by 10%.

And of course higher inflation on food and other items is adding to the woes of the consumer – with 44% us saying money is tight and 8% unable to meet monthly outgoings, according to a recent Lloyds TSB survey.

Remortgaging at today’s lower rates can enable existing homeowners to reorganise their finances and consolidate debt, while the affordability of mortgage payments is an incentive for those seeking to buy.

At the same time, difficult financial conditions make the mortgage market something of a minefield – and not just for first time buyers. With lenders having different requirements, and offering a whole variety of products, the expertise of a broker such as Go Remortgage can be especially useful.

That’s according to the trusted LSL Property Services/Acadametrics Index, which claims to take into account every transaction in England and Wales.

The index shows that prices rose 0.3% in April, contributing to an annual rise of 0.9% and leaving the price of a typical property at £223,352.

But the average was skewed last month by the large number of sales at the top end of the market, with a big increase in the number of transactions over £1 million. This is being put down to the rush to beat the rise in stamp duty for such properties at the start of the new financial year.

While this helped push up prices in London, other areas of the country saw declines, with the South West registering a fractional loss over the past year and the North West a drop of 3.6%.

What this does mean is that many homeowners have seen their chief asset largely preserve its value, despite fears of market collapse when the recession first struck. While some may be reluctant to test the market as far as selling up is concerned, others will consider remortgaging and releasing some of that equity.

Competitive interest rates and the affordability of mortgage payments are big factors here. Figures from the Halifax show that, for new borrowers, typical payments have fallen to 29% of average disposable income from 48% in 2007.

While Bank of England base rate remains at 0.5%, financial site Moneyfacts reckons that average credit card interest rates are now at their highest for 13 years at over 19% – while the Bank itself lists the typical rate at 16.73%.

Borrowers could face mounting bills, according to recent reports, because lenders are being hit elsewhere. An official recommendation that lenders should recoup borrowers’ higher-interest debt first, and the need to compensate others for missold payment-protection insurance, have left banks seeking to make up for their losses, analysts say.

Many borrowers will be seeking to cut their repayments with so-called 0% deals – but beware of transfer fees and time limits. The well-known strategy of paying off the monthly minimum can also be something of a trap, according to experts, with a relatively modest debt taking many years to repay because of accumulated interest.

With mortgage interest rates at or close to historic lows, bringing debts under the umbrella of your mortgage can help reduce monthly payments. (Important to remember, of course, that you are using your home as security when you do.) It can also simplify financial management, by doing away with the need to juggle several payments and deadlines in the course of a busy schedule.

Remortgaging accounted for 37% of all lending, up from 30% in the last quarter of 2010. March saw a significant boost for both remortgaging and lending for house purchase – with 33,900 and 37,800 new loans respectively.

But looking back over the last year, the story has been of a resurgence in remortgaging, with lending for house purchase well below 2010 levels.

Why the rise? Greater competition and new products particularly at higher loan-to-value ratios are thought to have attracted borrowers – along with some highly competitive interest rates. Many have also taken the opportunity to lock into a fixed-rate deal as security against any rise in interest rates.

Recent economic worries have made an early rise in rates look less likely. But with inflation forecasts being revised upwards to 5%, an increase in Bank Rate this year is not being discounted.

Both the CML and Bank of England surveys foresee a strengthening in remortgage lending in the next quarter. But there are also indications that house purchase may become a more viable option for many, with buyers and sellers returning to the property market, according to the Royal Institute of Chartered Surveyors.

Of course, a more robust housing market tends to benefit homeowners looking to draw on equity too – by supporting property prices. The precise balance between different kinds of lending is hard to predict, with remortgaging easing back, according to some recent data.

Some homeowners will doubtless prefer not to take their chances in the housing market, and exploit the potential of their existing property by remortgaging. Others will hope to capitalise on a livelier early summer market, and move.

The latest survey from RICS (Royal Institute of Chartered Surveyors) headlines a “broad based improvement” in the property market, with signs of increased activity. More surveyors reported a rise in new instructions in April, while viewings, sales and newly agreed sales all picked up – albeit modestly.

But the basic story coming from major lenders is of drifting prices in many areas – with the exception of London. Surveyors’ expectations for prices remain negative – though by a lower majority (18%) than previously.

Recent figures show an upswing in the number of mortgages approved for buying homes, particularly among mutuals. Record low interest rates continue to support the housing market – and have helped to stave off the plunging prices forecast by some.

The future direction of interest rates remains a hot topic, with opposing forces in the economy making a future rise in Bank Rate extremely tricky for the MPC (Monetary Policy Committee) to time. With inflation now set to peak at around 5%, the pressure to put up rates remains. But reduced growth prospects for the economy make that a risky venture. Lenders have already responded by trimming rates on some deals.

With many having built up equity in their homes over the years, scope remains to remortgage – in order, perhaps, to reign in monthly debt repayments, or for improvements aimed at making an existing property more comfortable, and saleable.