The Bank of England has announced that they are leaving base rates unchanged at 5.25% ending a brutal run of 14 straight increases. Andrew Bailey confirmed that inflation has fallen significantly in recent months allowing them the flexibility to keep rates unchanged. We caught up with our Head of Residential, Alasdair Dunne, to find out how he thinks this will impact the housing market.
"Borrowers can breathe a sigh of relief as the Bank of England pause their relentless programme of base rate rises to curb inflationary pressure. The decision was clearly on a knife edge, and it is possible that we will see another rise, but this signals that we are at, or very close to peak rate. Hopefully, borrowers can take comfort in that.
"We have already seen an improvement in borrowing rates, and I would suggest that better rates will now be made available as banks compete to lend. For those who have put their house move on hold whilst they waited for rates to settle, it now might be the time to make a fresh start.
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