Are Mortgages Cheaper Through A Broker?
Mortgage NewsRead article
28 Mar
September 2022 Update: Average House Price Growth Drops By 0.3%
14 Sep
Mortgage News
According to a statement released from Halifax, house prices slowed down last month from the previous month of July’s growth. In August, the average house price growth decreased from 11.8% down to 11.5%, marking the slowest rise in annual growth within the last three months, with higher interest rates expected to come.
For advice on your next steps and the mortgage products available to you, book in for a free, no-obligation mortgage consultation with one of our experts today, or read on to find out more about our predicted projections for the rest of the year.
House Prices: Predictions For The Remaining Months
As of August 2022, the average house price was approximately £294,260; however, it is predicted that house prices will continue to “cool off” in the next few months. As the demand from buyers looking for available properties eases, it is expected that this will, in turn, cause the property market to slow in activity.
Lenders’ criteria also appear to be more relaxed than ever before; for its existing customers, Nationwide has extended its 5.5x borrowing limit, while Halifax and Accord have also followed suit by increasing their maximum borrowing amounts for many looking to borrow.
In addition to this, the introduction of the new Prime Minister’s proposed tax-cutting strategies (to boost the current economy) is likely to have a knock-on effect on property prices. According to data from Capital Economics, property prices will be predicted to rise throughout this year before falling by around 5% in 2023.
The UK Interest: Rising Rates Predicted To Come
In regards to the UK interest rate, last month, the Bank of England announced its most significant interest rate rise in the last 27 years, increasing the UK interest rate from 1.75% by 0.5%. With homeowners’ budgets already stretched by increased living costs and debt, the increased rate will massively restrict affordability for buyers who rely on higher borrowing levels to get onto the property market.
Additionally, following the passing of Her Majesty The Queen this week, the Bank of England has postponed its decision on whether it will increase the UK interest rate further at this time. However, this is expected to rise by a further 0.5% in due course (the Bank’s Monetary Policy Committee (MPC) will now meet to decide on 22nd September).
Get Bespoke Advice On Your Borrowing Needs!
What does all of this mean for you as an existing homeowner or first-time buyer? Whether you’re in a position to buy or sell a home, our Mortgage Advisors in Kettering are on-hand to provide you with bespoke, tailored advice for your circumstances.
As a free independent Mortgage Broker service based in Northamptonshire, we have access to over a hundred lenders with no broker fees. We can advise you on the most suitable mortgage products available to you. Get in touch with our team today to get started or check out our Mortgages page for more insights.
