Brexit – what does it mean to household mortgages?
Love it or hate it, the country has decided to exit the European Union. This will be a gradual process taking many years of negotiation and realisation. We have already witnessed some of the effects that this is having on the markets, with shares plunging and the pound de-valuing.
The effects of this may not show immediately on household budgets and the money in your pocket, but as the economy readjusts to this shock it is bound to affect all of us in some way. It may mean higher petrol prices, higher inflation, higher interest rates, higher cost of imports and a fall in house prices.
On the other hand house prices may rise due to an increased deficit in supply and demand. House builders may well struggle to fill an increasing lack of skilled foreign workers and build less houses. If interest rates do rise to combat increasing inflation this will without doubt mean increases on mortgage interest rates. This could prove to be a double whammy for first time buyers and certainly for those who have mortgages on variable rates and those coming to the end of a fixed rate period.
Of course we do not know what the future holds in this whole new world for the UK, time will tell.
All I can say is; this seems to be a crucial time to consider ways to protect and to carry ourselves through these uncertain times. One way is to have a professional evaluation of your mortgage position. It does not cost a fortune to do this as most professional mortgage brokers do not charge consultation fees and they probably have access to products that are not widely known.
Like the 23rd June, the choice is yours. So if you feel an free consultation will help to put your mind at ease, please do not hesitate to call us on 01392 216 344