The cost-of-living crisis is worrying the majority of us and homeowners are no exception. The Bank of England base rate has increased 13 consecutive times and now sits at 5.25%.
Since July 2023, the current mortgage rate for a 2-year fixed term stands at a whopping 6.78%, meanwhile the interest rate for a 5-year fixed term is 6.38%. For those who decided to use the standard variable rate (SVR) this has continued to climb to 7.67%. According to The Times, experts are predicting further rises in base rate to 5.75% by the end of 2023.
The Bank of England base rate correlates with the rate of inflation. The base rate is increased to limit the consumer spending, therefore stabilising the inflation. Bank of England typically reviews the base rate every six weeks or so and adjusts the base rate accordingly.
Despite the challenges facing today’s property market, our team continues to receive new instructions from homebuyers and existing homeowners for a variety of services, which includes but is not limited to Condition Surveys, Party Wall matters, Project Management and Lease Plans. Due to the rising cost of living, it is imperative that you seek expert advice before purchasing a property as this will give you an insight into any unexpected repairs and bills which may incur and help you make informed decisions prior to your legal commitment to purchase. So, whether you are looking to buy a property or undertake works to your existing property, please do not hesitate to contact us.