Brexit Contractor Mortgages
It looks like there is going to be a post Brexit Contractor Mortgages boom which is good news for contractors.
Firstly, the Governor of the Bank of England, Mark Carney, went on TV to announce that interest rates are likely to fall in the summer.
Therefore, this will not only make mortgage cheaper, it will boost house prices across the country.
Rising House Prices
Secondly, the pound has fallen by around 10% against the Euro since the referendum.
This will make it 10% cheaper for people from outside the country to buy houses in the UK.
Furthermore, the fall is even more pronounced against the dollar which will make it cheaper still for Americans to buy in the UK.
This will affect mainly London and the bigger cities but there will be a knock-on effect elsewhere. It should push house prices higher still.
Better Remortgage Rates Also
So, it seems that Brexit has been good for getting great rates on remortgages.
Indeed, just this week, HSBC have come out with a two-year fixed rate mortgage of just 0.99%.
Santander has come up with a 10-year fixed mortgage rate of just 2.94%.
This goes along with their 5-year fixed rate mortgage ast 2.24%.
It is predicted that there are going to be lots of great 5-year fixed rate mortgages being offered in te next few weeks.
Higher Property Prices
These deals are sure to send property prices north as mortgages become more affordable.
Prior to Brexit the pundits were predicting the end of cheap mortgages as they expected interest rates to start rising soon.
They said that the recovery in the economy would send interest rates rising. That would, therefore, mean mortgage rate increases.
House prices were expected to fall because of it.
Brexit Contractor Mortgages Boost
However, Brexit has changed all of that.
With the Brexit contractor mortgage market expected to bring lower mortgage rates, houses are likely to start moving higher.
For contractors it is always better to contact a specialist contractor mortgages broker rather than step into a high street bank or building society.
Those specialist brokers can get the right mortgage for you.
They can also get it based on just your contract rather than having to see three years worth of accounts. Also, they will base the offer on your daily rate annualised rather than on your Director’s salary.
So, it’s a good time to take advantage of the Brexit Contractor Mortgages boost.
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