There was no change in the base rate today, but there have been some interesting trends emerging in the mortgage market.
Knight Frank Finance is proud to announce a new partnership with R K Harrison, a specialist Private Clients’ insurance broker and part of The Howden Group, one of the UK’s leading independent brokers.
The Bank of England may have kept interest rates unchanged at 0.25% this month, but mortgage rates are not showing a similar trend. Average rates are creeping up, albeit slowly.
New rules are being brought in from April 2017 to charge Inheritance Tax (IHT) on UK residential property held in offshore structures.
The New Year marked a clean sheet for many lenders. They are back to zero on their lending books, and from the lenders we are talking to, they have an appetite to lend – good news for borrowers.
While the base rate has stayed static, the same cannot be said of the money market rates which determine mortgage lending rates. Two and five-year Swap rates have been rising over the last few months.
As the UK Bank of England base rate remains pegged at its new ultra-low 0.25%, much attention has been focused in the first round of economic data showing how the country is faring post referendum.
While macro-economic events affect the mortgage market, there is perhaps a more industry-specific theme currently at play – the move into the final quarter of the year.
Simon Gammon, Managing Partner at Knight Frank Finance, spoke to The Sunday Times on this issue of rising administration fees for mortgage processing.
The Financial Times reported this weekend on the importance of arranging finance prior to looking into buying a house, Simon Gammon gives his thoughts.