Capital Fortune Newsletter
March 29th saw the triggering of Article 50 in the UK. In doing so, a period of uncertainty is expected within the mortgage market. The economy, domestic political issues, the stock markets, inflation, house prices, property, the retail sector – all are now being viewed through the Brexit prism, all judged in relation to Brexit and its potential consequences.
Mortgage rates may be showing signs of rising, but that shouldn't dampen borrowers' desire to remortgage, particularly those coming to the end of a fixed two-year term. Indeed, our latest figures show that motivation to remortgage has hit its highest level since 2008, and by all accounts, it's only going to increase in the months ahead.
Competition is still fierce in the mortgage market, and with many high street banks claiming to launch the cheapest products ever on their records, many borrowers could assume that the mortgage rates from these providers will be significantly lower than those offered elsewhere. However, our latest research shows that things aren't always as they seem, as building societies are the clear winners when it comes to the mortgage rate war.
The results from Newcastle last night around midnight, were the first indication that all was not well with the Remain vote. The North East powerhouse was predicted to be a strong Remain supporter given the high student population but when the result came in 50.5%/49.5%, it was clear the Remain vote may not hold up nationally.
We are pleased to report new research indicating that First Time buyers are at the highest on record for almost 2 years.
First Time buyers have found it difficult to get onto the property ladder, given average incomes in relation to house prices. This is particularly so in London and the South East. It is refreshing to see new research which therefore suggests that an increasing number are able to get over the obstacles and get on the property ladder. During April the number of First Time Buyers obtaining first time buyer mortgages were the highest seen since 2014.
We are pleased to see a date finally set for the UK to hold a referendum on its membership of the European Union.
The vote will take place on June 23 and will have profound implications for the British economy and your own personal finances and mortgages. While we take no side on the crucial question, it is important to see the issue resolved quickly for mortgage holders.