Rate rise, a Christmas treat and Mo-vember!

On the flip side, those with variable rate or tracker style mortgages will see their monthly payments increase. Again though, it should only be a small increase. The average mortgage (which is apparently only £85,000) will go up by about £25 a month. Hopefully these slight rises should be affordable for most people and there wont be mass panic or hysteria.

I think with inflation rising we all expected rates to rise at some point and a 0.25% rise was the best that we could have expected. The Governor was keen though to state that this may be the first of a few rate rises, but again, we shouldn’t panic. Rates are expected to rise to 1% but only over the period of the next 3 years so it will be very gradual.

It is amazing to think that the last times rates saw a rise was back in 2007. To give you an idea of how long ago that was, the iPhone was first launched, Mcfly were number one in the charts and Alesha Dixon won Strictly Come dancing. According to reports there are over 8 million mortgagees that have never even seen a mortgage rate rise.

Those of you that have had mortgages for a lot longer will be a lot more clued up and probably grateful that rates are still as low as they are. 20 years ago this week, rates were at 7.25% and this was still a lot lower than their peak of 15%. This is just staggering and beyond the comprehension of most people who couldn’t dream of being able to afford such rates (me included).

I don’t expect the interest rate rise to have much affect on the market. Interest rates are still extremely low and mortgage rates are very low with hundreds of different deals from dozens of different lenders all keen to get your business. The cheapest rate I could find was still just 1.24% fixed for 2 years which is astonishingly cheap really.

The housing market in Leigh has been pretty steady throughout this year. We have had a great deal of uncertainty with Brexit still looming over us; a general election, The Donald arriving in The White House and more locally, the possible change in school catchment areas, all of which have come and gone without really having much of an impact. I haven’t broken down the figures yet in great detail but I expect prices have continued to rise by between 5% and 10% again this year and I see no reason why this trend won't continue in to 2018.

Move before Xmas

There is still a chance to treat yourself to a brand spanking new flat before Christmas. If you want one, and move in before then, I will even treat you to a bow for the front door. 1043 Leigh on Sea is nearing completion and we still have a few 2 & 3 bedroom flats available. The developers are offering to pay the stamp duty and legal costs for those able to move before Christmas so it will definitely happen. The flats are looking great now they're nearly finished. High quality Moylans kitchens, luxury bathrooms and modern contemporary fixtures and fittings. All the flats have their own balconies, plus there is a super communal roof garden. Secure allocated parking, a lift and the added incentive of a share of the freehold make them a very desirable package for those looking for a stress free, turn key property all wrapped up and ready for Santa’s visit.

Not Again

It is that time of year again. The boys (and some of the girls) at Scott & Stapleton are again celebrating Mo-vember. Yes, we will all be sporting various levels of bum fluff on our top lips to raise awareness of Prostate Cancer. Final designs for our moustaches haven’t been decided yet but have ranged from Tom Selleck to Hitler and everything in-between! Our office has had its fair share of dealings with Cancer this year, with members of staff and relatives all being affected. Any charity supporting services dealing with Cancer will always have our support. It is not until it affects someone close to you that you fully appreciate that amazing work that these charities and hospitals do and it makes making a fool of yourself for a few weeks the least we can do.

This article is by Rob at Scott & Stapleton
Tel: 01702 471155
Email: rob@scottandstapleton.co.uk 

To read all of Rob's previous articles, please click here