Some close to the housing market claim the current climate is unfavourable and heading nowhere but downward. Although there is still uncertainty hanging in the air over Brexit negotiations, there are several bright spots occurring overall in the economy to base positive thoughts on. One is low interest rates which controls much of the sentiment regarding tomorrow. Another is the data regarding low unemployment which is in quite a favourable position at the moment.

House prices are steady or rising in many areas of the UK. However, as has been the case for more than a year, the house prices in London are still declining. The largest fall in house prices in July year on year were in London at 0.7%. Many experts believe there is a much needed and natural correction going on in the capital with July’s average house price there recorded as the highest in the UK at £484,926.

The challenges faced by first time home owners have always been there and now more than ever it is becoming harder to afford a first home due to increases in house prices and other factors. The latest data indicates first time buyers face quite a challenge being able to afford the average home price. During the last three years, young buyers looking for a spot on the property ladder must earn almost 20% more in salary to afford a basic property.

Remortgage reached extreme heights in the month of August as home owners grabbed low interest rates prior to the collective increase in rates by lenders following the increase in the first week of the month. This wave of home owners obtaining remortgage set a new high for the last nine months. The total number of remortgages which were approved in August was almost 31,000. During the month of November last year more than 33,000 remortgages were approved, according to figures from UK Finance.

Rising inflation and uncertainty surrounding Brexit are two issues which have been on the minds of house owners. These two issues place stress and burden on anyone looking to save money not knowing what tomorrow brings. It is enough that petrol prices are high and groceries seem to be rising in price as well. Many house owners have once again turned to a method to potentially save money on the cost of the monthly mortgage payment. They continue to turn to remortgage.

House owners on the fence regarding remortgage currently are faced with uncertainty coming at them from all angles. Brexit negotiations, falling house prices, and a serious housing shortage have come together to make decision making quite difficult. These issues however have not stopped many house owners from remortgaging anyway. The reasons they are choosing to remortgage are numerous and varied. Many see several benefits applying to them for not only today but tomorrow as well.