Brexit – Caution Needed, But Look Beyond The Hype
28th June 2016
As we all now know, the UK voted to Leave the European Union in a shock decision on Friday.
There is a lot of speculation around the result of the referendum, but as with any change and uncertainty it is about keeping calm heads and not believing all the wild predictions that are being made.
Much of the speculation is inevitably focused on the Housing Market, but the underlying fundamental reasons why people buy property; to move out of home, start a family, move to a school catchment area etc, will not change and the current lack of supply remains.
We may well see foreign investors looking to take advantage of this market once more as the perceived cost to them given currency fluctuations seems cheaper, whilst Buy To Let landlords will inevitably see a range of opportunities. All of this keeps prices buoyant.
Eyes will be focused on the Bank of England and their reaction where interest rates are concerned will play a key role. In the short-term we could well see an early Base Rate cut which would mean that mortgage products should continue at their current low rates and there is much for borrowers to take advantage of right now.
What we do not know is how long these current rates will remain available for.
The good news is that banks are much better capitalised and having repaired their balance sheets over the past few years will still be in the business of looking to lend, so for the most part there is no reason to think that it will not be business as usual.
When all is said and done, we may look back at this period and see it as a fantastic opportunity for buyers and especially those looking to remortgage to take advantage of some highly attractive mortgage rates.
As ever, Coreco and our Professional advisers are here to help and advise you how to take advantage and are happy to take your call now on 020 7220 5110.
This is Bow, he’s a plucky little Boston Terrier and knows a thing about mortgage applications. His owner, Patrick, is one of our clients and Bow here helps with his paperwork. If there’s anything you need to know about mortgage applications or the paperwork entailed then check out our advice hub – it has everything you need!View the mortgage guides
Andrew Montlake, Director and Spokesperson for Coreco, gives his honest and forthright views on the mortgage market, economy and all things property related. Monty was voted "Mortgage Personality of the year 2008", "Best Press Spokesperson" in 2011 and is the current holder of the British Mortgage Awards “Best Marketeer” title. Expect expert analysis, delivered in a down to earth style with a side helping of exuberance.