The Bank of England’s Monetary Policy Committee (MPC) has voted to keep the standard base interest rate steady at 0.75%. This had been the expected outcome of the meeting by experts. There is still uncertainty ahead in the year with the Brexit delay. However, there is the need as for the MPC to keep inflation in control and close to the target of 2.0%. Keeping it close to target will sustain growth and employment.

Housing market reports are sounding the alarm that house prices are still declining in London. Still declining being their keywords. London had through many years, especially during the recession, had vibrant growth in their house prices. That growth helped the average house price in the UK from looking as bad as it did without the growth of London’s properties. The property value growth was so strong that it reached levels making properties out of reach. Any declines were looked at as a normal and much needed correction to the London housing market by many experts.

At any given time there are homeowners facing the end of their mortgage deal. When the term on their mortgage ends they have choices, one is to take action and get a remortgage and the other is to do nothing and allow their lender to move them to their standard variable rate (SVR). Not too long ago moving to a SVR wouldn’t have been so bad as they were attached to relatively low interest rates. That is no longer the case as some SVRs are double the rate of a homeowner’s mortgage interest rate if they mortgaged two or more years ago.

The housing market is revealing a new type of home buyer. While first time buyers are still a rarity, though demand from them has picked up recently, there is an increase in home buyers looking for a second property. Whether it is an investment, a buy to let, or a holiday second home, it has become more of a norm and less of something only reserved for the extra wealthy or high end property investors.

Home sellers are finding the housing market favorable to their goals. Despite the postponement of Brexit and the uncertainty that is said to be holding back home buyers and other consumers, there has been an uptick to property purchases. That is motivating home sellers. Rightmove reported the average price of property coming on to the market was £309,348. This is just shy of the June 2018 record high reported of £309,439.

Homeowners are still interested in remortgaging despite the drop in demand. It doesn’t mean that all that could remortgage have done so. It doesn’t mean that there aren’t great deals to be had. It does mean that there are those that have skipped a remortgage and could most likely be paying more than they should have to pay.