Property Market Predictions for 2020 in Leeds | Mortgage Advice in Leeds
The Stars of a New Decade | Mortgage Broker in Leeds
Thinking of Moving Home This Year? | Mortgage Advice in Leeds
The property market has hit the ground running at the start of the new decade. Our current activity levels are running at record highs and there seem to be more people than ever looking for local Mortgage Advice in Leeds.
What’s In Store For The Property Market?
By way of contrast, 2019 slowed down much earlier than usual in the run-up to Christmas. The obvious reason for this was the unexpected General Election which had an impact on consumer confidence.
When it comes to investing in property, in my opinion, it is often more about how people “feel” about what is happening than the facts. The mortgage deals on offer were amongst the lowest ever yet take-up was poor, much like Brexit, potential buyers were playing “wait and see” on the Election result.
Whether you were a remainder or leaver, there is some clarity at last – we are leaving the EU. Many people who have had their plans “on hold” over Brexit uncertainty are seemingly wanting to move house. I feel that this “pent up demand” has probably been building up for a couple of years now.
Estate Agents are also suggesting large increases in activity too, and in a very encouraging sign, Rightmove reported a 2.3% rise in property prices in the month immediately following December’s Election – the largest percentage increase since they began their records in 2001.
For anyone thinking of moving home this year, the running order is:
- Get your current home valued by at least two Estate Agents – you can then calculate how much equity you have available to put down on your next home
- Contact a Mortgage Advisor in Leeds for a FREE “Affordability Assessment” – we can quickly work out how much you can borrow without the need for a credit check.
- If you then decide 2020 is the year for you to move home, then we can obtain an “Agreement in Principle” – you can use this document to prove to any Estate Agent that you have a mortgage in place. They will then classify you as a “qualified buyer,” increasing your chances of having an offer accepted
Remember, buying a home is likely to be the biggest investment you ever make. When you offer you need to remember is a negotiation process – if your first offer is accepted, you will have only proved you are a poor negotiator! Don’t be down-hearted if your opening offer got rejected, the seller won’t take offense and will welcome a higher bid!
Looking to Remortgage?
In terms of Remortgages and new deals, Banks are sitting on larger amounts of cash than usual, and the mortgage rates on offer are very low. Anyone who has let their mortgage “drift” onto their Lender’s standard variable rate might be missing a trick right now.
We have seen more customers opt for five year fixed rates recently as a result of these low rates. A long term fixed rate isn’t right for everyone though and I strongly recommend you speak with one of our Mortgage Advisors in Leeds before simply accepting a new deal on offer from a current lender.
As well as offering competitive deals, there are some signs of Lenders relaxing some of the more illogical pieces of their criteria to meet their lending targets. We are hoping in due this might help some tenants who find it hard to save for a deposit onto the property ladder.