7 January 2019

Press Coverage

The best way for young people to get on the housing ladder is to have parents who own property. Mark Harris of SPF Private Clients, said: ‘The majority of first-time buyers who come to us to get a mortgage have significant financial assistance from the bank of mum and dad. It’s the only way most youngsters can afford soaring property prices, both in terms of help with the deposit and also with the mortgage payments.’ BBC News, 4 December 2018

Specialist banks are aiming to broaden their appeal by offering an ‘ethical’ way for people to purchase a home. However, Islamic mortgages can be more expensive than standard residential deals. Mark Harris of SPF Private Clients, said: ‘With the mortgage likely to be the biggest outgoing for many, rate is an important factor. If a deal is more expensive than alternatives on the market it will be a hard sell.’ The Daily Telegraph, 5 December 2018

A Times reader wants to know how the chaos surrounding Brexit might affect their mortgage. Elena Todorova from SPF Private Clients, said: ‘There are strong arguments for fixing for a longer term, such as five years. Rates are still competitively priced – depending on the equity you have in your home, rates start from less than 2 per cent – and one would expect the UK to be well past any uncertainty created by Brexit by 2024. It is worth noting that five-year fixes are about 0.25 per cent to 0.5 per cent more expensive than two-year fixes, but are still competitive and could save you the cost involved in remortgaging every two years.’ The Times, 22 December 2018

A studio flat in London’s Kensington is listed for sale for £145,000 and is being sold via auction. Amadeus Wilson of SPF Private Clients, said that the buyer was more likely to be an investor rather than a first-time buyer: ‘Auctions are mainly geared towards semi-professional investors as opposed to first-time buyers.’ The Daily Mail, 18 December 2018

House prices in the UK rose at the slowest pace in nearly six years in December, according to Nationwide Building Society. Mark Harris of SPF Private Clients says: ‘Lenders remain keen to lend and mortgage deals competitive. As long as borrowers can meet affordability criteria, whether they are taking out a new mortgage or switching to another deal, there will be plenty to attract them for a while yet.’ The Independent, 4 January 2019

What does the mortgage market have in store for 2019? Mark Harris of SPF Private Clients, said: ‘It looks set to be an intriguing year. We expect interest rates to end the year around 1 per cent and mortgage rates will reflect this.’ But he adds that he does not rule out the possibility of the MPC cutting interest rates to kick-start the economy if Brexit ‘goes pear shaped’. Zoopla, 18 December 2018

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