The general consensus in the housing market is that it is pretty quiet at the moment. So is this actually a great time to buy?
It’s the summer
Most people are too busy enjoying the lovely weather and going on holiday to think about buying a new home. It is always quieter in the summer. So the competition is lower, you may therefore have a better chance of getting an offer accepted.
The ‘B’ word – Brexit
People are holding off moving due to the uncertainty that Brexit is causing. Will house prices plummet after Brexit? Is it best to wait and see?
The June House Price Index (HPI) published by Nationwide Building Society announced that growth on house prices was at a 5 year low. However, growth outside of London was still at 2%. So, a slow growth, but not a fall in house prices.
In London, where house prices are 50% higher than the UK average, there was a slight fall, but this is being seen as a slight adjustment in the market.
Experts believe that, rather than falling, house prices will still increase, but at a slower rate*. Buying now will not mean that Brexit will cause your house price to decrease next year. So Brexit shouldn’t stop you moving.
The Bank of England Base Rates on which all mortgage interest rates are ultimately based, is currently at 0.50%. If anything, this is predicted to rise in the future, increasing the monthly mortgage repayments for variable rates and increasing the rates on new fixed mortgages. Now might be the time to buy a new home and get a fixed rate mortgage, before any interest rate rises.
Too busy to move?
If you’re too busy to move but would like a new home, then why not get in touch with Inca Home Moves, who will do all the hard work, so you can relax and get on with your life.
Find out more about the Fully Managed Service