15 / 08 / 24
Are Interest Rates Likely to go Down?
A question on everyone’s mind right now is ‘are interest rates likely to go down?’ Interest rates are not always straight forward, but we hope we can shed light on the current UK interest rates and how they might affect you.
Halifax Interest Rate Changes
From the 9th of August, Halifax have offered rate reductions for people looking to move home and, for first time buyers. The lender now offers a five-year-fixed rate for up to 60% loan-to-value at 3.99%.
On the 1st of August, the Bank of England banking rate, reduced by 0.25%. With this Halifax have said they are changing their lender rates from the 1st of September, with their Homeowner Variable Rate and their Standard Variable Rate reducing by 0.25%, to be in line with the changes.
Gary Clarke, the New Build Account Manager from The Mortgage Store has said “The base rate cut has led to an uptick in enquiries, particularly from First Time Buyers. With rates on the slide, consumer confidence has definitely uplifted in what will be great news for builders and sellers. It is expected that the weeks and months ahead will continue an upward trend for enquiries.”
Competitive Mortgage Rates
A series of giant UK lenders have introduced sub-4% mortgage loans. These lenders include NatWest, HSBC and Barclays, and there could be more to come. These changes have again, been made to be in line with the Bank of England changing its base rate.
This change will be a massive relief for those coming out of a pre-existing fixed rate mortgage, which had much higher rates. It will also be a massive boost for first-time buyers who are looking to get on the property ladder and will be able to have a more comfortable interest rate on their mortgage, than before.
So, are mortgage rates coming down?
The answer to the question we all want to know, is yes! We can see the changes happening every day, with mortgage rates coming down to more comfortable levels, which overall is having a positive impact on the housing market.
Pentland Homes can help give you information you need to start your home buying journey if you are a first-time buyer looking to make that jump. We have new homes available at Poppy Fields and other developments, that could be your perfect opportunity to move. For those looking to move home, now the rates have improved, get in touch to discuss our options as well as incentives like part exchange that could help you, buy your dream home.