The Bank of England has decided to cut interest rates to a record low of 0.25 per cent. The cut in interest rates is the solution found for the post-Brexit concerns and will help to ensure that the economy will be supported by a healthy property market.
How does the decision affect the housing industry?
Of course, the news is welcomed by borrowers who will save on monthly mortgage repayments. The immediate winners from the cut will be those on tracker mortgages. The Council for Mortgage Lenders has calculated that the average mortgage of £114,000 would be cut by £15 per month.
Fixed-rate mortgage holders won’t see any immediate change to their costs, but it will be possible to shop around to see what other deals are on offer. For new buyers, fixed-rate mortgages are at the lowest ever. So it’s most definitely a good time to take advantage of the cheap rates.
Is it a good time to buy?
Prices on the whole aren’t rising at the pace that was seen earlier in the year and the property market is expected to be quieter through the rest of summer. This makes it a good time to start looking; buyers are in a stronger position now and have more ground to negotiate a more attractive deal.
Thinking about selling?
Despite fears surrounding Brexit, it has been shown that there is still strong demand from buyers in the property market. The shortage of available homes means that a realistically priced property will attract plenty of potential buyers.
Buyers at this point are looking for reassurance that they are getting the best property possible for their money, so over pricing can be extremely counter-productive.
To book a valuation of your property or for more information about the properties available in the Harborough area, call us today on 01858 450 020.