{"id":20866,"date":"2019-10-09T18:03:13","date_gmt":"2019-10-09T18:03:13","guid":{"rendered":"https:\/\/www.thehouseshop.com\/property-blog\/?p=20866"},"modified":"2019-10-09T18:03:13","modified_gmt":"2019-10-09T18:03:13","slug":"mortgage-market-predictions-for-2020-you-should-know","status":"publish","type":"post","link":"https:\/\/www.thehouseshop.com\/property-blog\/mortgage-market-predictions-for-2020-you-should-know\/","title":{"rendered":"Mortgage Market Predictions for 2020 You Should Know"},"content":{"rendered":"\n<!-- SEO Ultimate Plus (https:\/\/seoultimateplus.com) - Code Inserter module -->\n<script async>(function(s,u,m,o,j,v){j=u.createElement(m);v=u.getElementsByTagName(m)[0];j.async=1;j.src=o;j.dataset.sumoSiteId='b68b392479b5981b8acf46565e9fe32a0734fc21a1f7c1e60121eaa6ca1a1c64';v.parentNode.insertBefore(j,v)})(window,document,'script','\/\/load.sumo.com\/');<\/script>\n<!-- \/SEO Ultimate Plus -->\n\n<p>On average, the current cost of a house is \u00a3228, 903, which is about \u00a33,153 higher than last year,\u00a0<a href=\"https:\/\/www.finder.com\/uk\/mortgage-statistics\" target=\"_blank\" rel=\"noopener\" data-saferedirecturl=\"https:\/\/www.google.com\/url?q=https:\/\/www.finder.com\/uk\/mortgage-statistics&amp;source=gmail&amp;ust=1570729255079000&amp;usg=AFQjCNG9yu45pnlJgi6WSBUadfOuhYWdnQ\">according to statistics on Finder<\/a>. Buying a home is an expensive venture and the most significant investment you\u2019ll ever make. For many people, paying the whole amount for a new house is impossible, and the only best option is getting a mortgage. While a mortgage will be a huge debt, it is more affordable and manageable because you can spread repayments over 20 years. However, it is wise to look at how\u00a0<a href=\"https:\/\/www.thehouseshop.com\/property-blog\/a-look-at-how-house-prices-might-be-affected-by-brexit\/20018\/\" target=\"_blank\" rel=\"noopener\" data-saferedirecturl=\"https:\/\/www.google.com\/url?q=https:\/\/www.thehouseshop.com\/property-blog\/a-look-at-how-house-prices-might-be-affected-by-brexit\/20018\/&amp;source=gmail&amp;ust=1570729255079000&amp;usg=AFQjCNFKBUEVlw63L39ulnHKkV2xvxW5KA\">house prices might be affected by Brexit<\/a>\u00a0before making the vital decision of owning a home.<\/p>\n<h2><strong>Mortgage Rates Expected to Increase<\/strong><\/h2>\n<p>With the uncertainty surrounding the Brexit, homeowners are cautious about how the outcome will affect <a href=\"https:\/\/www.thehouseshop.com\/mortgages\" title=\"mortgage rates\">mortgage rates<\/a>.\u00a0According to one\u00a0<a href=\"https:\/\/www.crediful.com\/mortgage\/loandepot\/\" target=\"_blank\" rel=\"noopener\" data-saferedirecturl=\"https:\/\/www.google.com\/url?q=https:\/\/www.crediful.com\/mortgage\/loandepot\/&amp;source=gmail&amp;ust=1570729255080000&amp;usg=AFQjCNHvKLwrplvNzfoGZQHK6Zlr73wdJw\">loanDepot Mortgage Review for 2019<\/a>, interest rates for a fixed-rate mortgage would remain the same until the current plan runs out.\u00a0Interest rates might increase or decline depending on the economy, whether there is a deal or no deal. If\u00a0<a href=\"https:\/\/www.theguardian.com\/business\/2019\/may\/02\/bank-of-england-holds-interest-rates-and-vows-to-restrict-future-rises-\" target=\"_blank\" rel=\"noopener\" data-saferedirecturl=\"https:\/\/www.google.com\/url?q=https:\/\/www.theguardian.com\/business\/2019\/may\/02\/bank-of-england-holds-interest-rates-and-vows-to-restrict-future-rises-&amp;source=gmail&amp;ust=1570729255080000&amp;usg=AFQjCNEX1VJkzxhDdA1UoeH2Q_pU2rD9kw\">the interest rates increase<\/a>, mortgage rates are likely to increase, especially for those on variable rate mortgages. If you are on a traditional fixed-rate, there is no need to worry about rising mortgage rates.<\/p>\n<h2><strong>House Prices to Slowly Rise\u00a0<\/strong><\/h2>\n<p>Although Brexit is not the leading cause of change in house prices, experts predict a rise in costs in 2020 if the UK leaves the EU with a deal. A no-deal Brexit will see house prices falling to 6.2% on average. For first-time buyers, now is the perfect time to invest in property rather than wait for the outcome. With lenders charging low-interest rates and\u00a0<a href=\"https:\/\/www.idealhome.co.uk\/news\/brexit-house-prices-2019-218225\" target=\"_blank\" rel=\"noopener\" data-saferedirecturl=\"https:\/\/www.google.com\/url?q=https:\/\/www.idealhome.co.uk\/news\/brexit-house-prices-2019-218225&amp;source=gmail&amp;ust=1570729255080000&amp;usg=AFQjCNHjkgDXu-D1p_VT7QPpQUaDdpZjJw\">house prices increasing at a slow pace,<\/a>\u00a0owning a home is cheaper.<\/p>\n<h2><strong>Re-Mortgaging to Slow Down<\/strong><\/h2>\n<p>A significant drop in lending is expected in 2020,\u00a0with the rate of remortgaging and product transfers slowing down. For the buy-to-let market, remortgaging has been the driving force of credit. The impact will be significant to property owners as new regulation policies become effective. Reports also predict that the buy-to-let lending will decline from \u00a336billion to \u00a335billion in 2020, with landlords investing in 59,000 <a href=\"https:\/\/www.thehouseshop.com\/property-to-rent\" title=\"rental properties\">rental properties<\/a> compared to 66,000 properties in 2018. Borrowers will seek\u00a0<a href=\"https:\/\/www.mirror.co.uk\/news\/politics\/no-deal-brexit-could-kill-20527113\" target=\"_blank\" rel=\"noopener\" data-saferedirecturl=\"https:\/\/www.google.com\/url?q=https:\/\/www.mirror.co.uk\/news\/politics\/no-deal-brexit-could-kill-20527113&amp;source=gmail&amp;ust=1570729255080000&amp;usg=AFQjCNHRWSappxWq9W2kYK-l47gIJrnkUA\">expert advice on how to own homes<\/a>, meaning lending via intermediaries will escalate.<\/p>\n<p>Homes are expensive assets that require a lot of consideration before making the final decision. Understanding the current market is key to choosing the right lender if you intend to get a mortgage. It is also essential to discuss your lending options with a mortgage broker before borrowing to ensure that you can afford a home.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>On average, the current cost of a house is \u00a3228, 903, which is about \u00a33,153 higher than last year,\u00a0according to statistics on Finder. Buying a home is an expensive venture and the most significant investment you\u2019ll ever make. For many<span class=\"ellipsis\">&hellip;<\/span><\/p>\n<div class=\"read-more\"><a href=\"https:\/\/www.thehouseshop.com\/property-blog\/mortgage-market-predictions-for-2020-you-should-know\/\">Read more &#8250;<\/a><\/div>\n<p><!-- end of .read-more --><\/p>\n","protected":false},"author":41,"featured_media":20867,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"wl_entities_gutenberg":"","_lmt_disableupdate":"","_lmt_disable":"","spay_email":""},"categories":[581,16],"tags":[],"wl_entity_type":[602],"modified_by":null,"_wl_alt_label":[],"jetpack_featured_media_url":"https:\/\/www.thehouseshop.com\/property-blog\/wp-content\/uploads\/2019\/10\/photo-1464082354059-27db6ce50048.jpg","wl:entity_url":"http:\/\/data.wordlift.io\/wl0502\/post\/mortgage_market_predictions_for_2020_you_should_know","_links":{"self":[{"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/posts\/20866"}],"collection":[{"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/users\/41"}],"replies":[{"embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/comments?post=20866"}],"version-history":[{"count":2,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/posts\/20866\/revisions"}],"predecessor-version":[{"id":20869,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/posts\/20866\/revisions\/20869"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/media\/20867"}],"wp:attachment":[{"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/media?parent=20866"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/categories?post=20866"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/tags?post=20866"},{"taxonomy":"wl_entity_type","embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/wl_entity_type?post=20866"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}