House prices rose for the 11th month in a row in May, although the rate at which prices are increasing is slowing as the cost of living starts to bite. According to the latest Halifax house price index, prices rose a further 1 per cent in May, taking the average cost of a house to £289,099.
The main reason for the continued rise in prices is lack of supply combined with considerable demand. But as fuel and energy costs rise, along with interest rates. It is felt inevitable that this will start to impact would-be buyers’ decisions and mean they are less likely to be prepared to stretch themselves to buy a home.
The latest survey from the Royal Institution of Chartered Surveyors, also released this week. Supports this theory with respondents reporting that demand from prospective home buyers fell in May. Some surveyors put this down to buyers tightening their belts as the cost of living rises. With sales expectations over the next three months also expected to be flat.
How AWS Private Finance can help
Rising prices and a lack of property for sale means serious buyers need to move quickly if they wish to secure a home. Speaking to a whole-of-market broker such as AWS Private Finance before you make an offer on a property is crucial. With so much demand for property, agents will want to see evidence that you are serious and have funds in place ready to move when you find the right property. Our team of experienced brokers can ascertain how much you can afford to borrow and ensure the mortgage application proceeds smoothly and efficiently so that you don’t miss out.
Likewise, if you are worried about interest rates rising and what it will mean for your mortgage. It is worth exploring your options in advance of your current deal coming to an end. It is usually possible to reserve a mortgage up to six months before you need it. So we can help you secure a fixed-rate deal before rates rise further. We have particular experience in helping day-rate contractors and professionals secure a mortgage. As we know which lenders to approach to get the most favorable terms. Get in touch for more information.
