3 things you must know about the property market today

Three things you MUST know about the market today!

Yes, that title was a little bit too ‘clickbait’ for us sorry, but we are really keen to share this information with everyone.

June has been a very interesting month for the UK property market. The Bank of England base rate increased (again!) to 1.25%. We also saw new listings increase by 5.03% in comparison to the month prior. The rise of properties going under offer in the last three months has gone up a massive 52.25% (March to June Data).

The rental market is about to undergo the biggest change in the last 30 years following the recent renters reform. One key take away being that all tenancy agreements will become periodic and there will be no fixed length tenancy agreements! Mind=Blown…

Cost of living is the number one topic for the press in the UK. This would have been a huge impact for new mortgage applications, but…

The Bank of England will axe a key mortgage affordability guideline designed to prevent people from financially overstretching.

Following its latest review of the mortgage market, the central bank's Financial Policy Committee has confirmed that from 1 August the affordability stress test making lenders pit borrowers' finances against their high standard variable rates plus 3 per cent will be withdrawn.

The test is part of recommendations introduced in 2014 in the aftermath of the financial crisis to guard against a loosening in mortgage underwriting standards and a material increase in household debt.

The stress test means borrowers have had to prove they could still afford their mortgage repayments if their mortgage rate was to increase to 3 per cent above their lender's standard variable rate.

As you can tell it has been a busy month for our industry just keeping up to date with all the new regulations, changes and goal posts being moved… That on top of a record amount of new listings and new sales for the avocado brokerage shows you are in the right place when it comes to talking property.

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