Amid a hike in the standard base rate issued by the Bank of England last week during the monthly meeting of the Monetary Policy Committee, recent data reveals annual house price growth has slowed for areas of the UK housing market. Overall, house price growth has slowed to 3.5%. London and the Southeast have been affected by the decrease in house price growth, whilst the Midlands and the South have experienced the opposite effect.

The Bank of England increased the standard base rate last week after weeks of speculation and hypothesizing over what the new rate will potentially be. This increase took place after a rate hike which was possibly going to take place in May was delayed. The increased rate took the former level of 0.5% and pushed it to 0.75%. After a period of higher inflation the central bank felt it necessary to raise the rates in order to tighten control on the cost of money. This has led many to wonder when the rates lenders charge will begin to increase. The answer is starting to trickle in.

The Bank of England’s Monetary Policy Committee (MPC) increased the standard base interest rate during their August meeting a few days ago. The shock has likely been absorbed by those that didn’t expect it to happen. However, there are homeowners that could still be unware of the impact the increase of 0.25% will have on their monthly repayments or the amount of money they will spend over the term of their mortgage.

Landlords have been encouraged to remortgage since the Bank of England increased the standard base rate last week, hiking it from 0.5% to 0.75%. The increase was the first increase since last November when the rate was increased from 0.25% to 0.5%. Those entrenched in the Buy to Let sector are now being pushed to consider the possibility of remortgaging before the next potential increase becomes part of the daily conversation.

The Bank of England made the careful decision to raise the standard base rate in the last meeting to 0.75%. This rate rise affects anyone on a standard variable rate mortgage lending product or tracker product. For those home owners who are able to remortgage, there is still time to obtain a fixed rate loan. Lenders are in heavy competition currently and are offering special deals with unique incentives. It is not uncommon to find free closing costs as well as other no-fee administration costs from lenders, according to many close to the housing market.

The benefits of a remortgage have been well documented and house owners are still finding exceptional deals on the mortgage lending tool. Since the Bank of England made the decision to increase the standard base rate in this month’s meeting of the Monetary Policy Committee, property owners are scrambling to remortgage before lender rates increase. Benefits like low interest rates are the predominate factor in determining cost savings moving forward.