Positive interest rates decision for buyers
Interest rates have been kept at 0.75 per cent at the latest meeting of the Bank of England’s Monetary Policy Committee.
The Bank is responsible for setting the rates, which have been at a very low level since the credit crunch of a decade ago. It is good news for those seeking to get on to the mortgage ladder as well as those seeking to remortgage their properties.
It means mortgage deals will remain low along with repayments.
The Bank also recently reported that the average cost of a home was £226,000 in February – some £1,000 higher that at the same point a year earlier. Despite this, the Bank expects property prices to fall for the rest of the year, by up to 1.25 per cent.
It also revealed that house-building levels have held up since the EU referendum. In the year to April 2018, some 222,000 homes were added to the housing stock in England, which is just short of the record high of 224,000 in 2008.
This is encouraging although naturally the picture will vary across the country, and the Bank also expressed some concerns about the impact of Brexit on the number of people wanting to move home or get on the property ladder.
Staying abreast of the housing market and informed about mortgage deals can help when buying a new home. It is always seek independent financial advice about mortgages if possible.
Don’t forget to join our Home Ownership Register if you are seeking to rent or buy in north, south or west Dorset.