0.25% you say? Very interesting…!

For the first time in seven years UK interest rates are at a record low of 0.25% following the Bank of England’s decision to cut the base rate.

This is good news for borrowers on tracker mortgages who can immediately start saving on their monthly mortgage payments. Those on a fixed rate mortgage won’t see an immediate change but the interest rate cut does give them an opportunity to shop around for a better mortgage deal.

The cut is a welcome reassurance since Brexit and will encourage us to re-think taking that step onto the property ladder, putting our house up for sale or looking out for a better mortgage deal.

So, we’ve had Brexit and an interest rate cut and the question now is, is it a good time to buy, sell or re-mortgage?

The property market has quietened somewhat since Brexit and this therefore puts buyers in a strong position to bargain harder for the better price. There is however still a shortage of houses on the market which keeps the seller in a good position. Offers at realistic prices should be accepted / properties being marketed at realistic prices should sell. If you are considering re-mortgaging as an option, it is always sensible to regularly keep an eye on current mortgage offers – there may well be a deal out there now that is just right for you. Don’t forget to check whether you might have to pay an early repayment charge if you want to come out of a fixed deal early.

If you are thinking of buying or selling or indeed want advice on the re-mortgage process and in particular the early repayment charge, please contact our conveyancing team by phoning MTB Solicitors on 028 90 329801 or by sending us an email to legal@mtb-law.co.uk