If you’ve only recently began your quest to taking your first step on the Property Ladder then you might not be aware of the Kwasi-crash and its implications on UK mortgages.
To explain it in a metaphor, Liz Truss and Kwasi Kwarteng pointed a Colt Single Action Army handgun to the head of economic sensibility and blew its brains out.
This episode caused the Bank of England base rate to rocket in order to stabilise the currency, which resulted in the cost of mortgages ballooning for UK homeowners and making the dream of buying your first home less feasible.
This month we’ve just seen fixed rate mortgages entering the market that are below 4% which is a welcome relief for many.
We hope to see this trend continuing. Factorsthat are leading to the continuation of this trend are;
· UK inflation continuing to fall.
· This will result in a lower Bank ofEngland base rate for 2025
· Which will see the banks swap rates drop (In plain English this will allow for mortgages to become cheaper)
With the direction of travel looking positive we hope this allows for more First Time Buyers to enter the market.
