MORTGAGES! Sam Murphy, MD at Mortgage Medics gives us his outlook on the Mortgage & Property Market
FINALLY in September we saw the Bank of England hold the Base Rate level at 5.25%, after 14 consecutive increases previously. It might be too soon to call it the beginning of the end of high interest rates, but it's definitely a cause for optimism.
Read more here.
Market Commentary
It's fair to say that many took full advantage of the Summer break and against a backdrop of high interest rates we didn't see a great number of new sales agreed in August.
What we did see was a lot of price reductions as agents and sellers realised that if you're serious about selling in the current market, the price has to be right. Whilst it's never pleasant to think your home might have lost value, if you're buying and selling you can always hope to make up any lost value by getting a deal on your onward purchase, which could be especially good news for those upsizing. There are deals to be done at the moment.
In terms of interest rates, the Bank of England holding the Base Rate in September was welcome news. Whether this is the start of things to come remains to be seen, but markets have reacted positively and we've seen the fixed rates on offer from lenders slowly edging down over the last couple of months, adding weight to thoughts that interest rates may have peaked.
If you're a homeowner or landlord facing rising costs, our advice is generally to do what you can to ride out this period of high interest rates. Talk to us if you'd like us to help you plan ahead and understand how you might be able to minimise the impact of interest rate rises.
What we've been talking about...
- How much can you borrow on a mortgage? Often the starting point to any conversation about moving or raising funds. We look at the key considerations to working out your borrowing capacity.
- What can you buy in Brighton for £450k? It's an interesting market out there at the moment with a lot of price reductions, so what does £450k buy you in the Brighton area?
- What is Bridging Finance? Need to buy a wreck or buy before you've sold? Bridging Finance could be the answer, but there are pros and cons.
- And Finally, if your Interest Only mortgage is ending soon and you haven't worked out what to do - read this. We summarise some potential solutions and remember, help is only a phone call away.
If you're thinking of moving, or want to review your existing mortgage, we're here to help. Conditions are challenging, but the worst thing you can do is put it off. We're happy to help you understand what's going on and make a plan.
We'll update our social channels with any big news in September, but if you'd like to have a chat about your own situation, get in touch by calling 01273 077080.
From Sam & the Mortgage Medics team.
Mortgage Medics Limited is an appointed representative of In Partnership the trading name of The On-Line Partnership Limited which is authorised and regulated by the Financial Conduct Authority (www.fca.org.uk).
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE