Smoove comments on the BoE Monetary Policy Committee interest rate rise (4 August)

Simon McCulloch, Chief Commercial & Growth Officer at Smoove, comments on the Bank of England Monetary Policy Committee interest rate rise (4 August).

“It should be remembered that today’s 50 basis point hike comes hot on the heels of the Bank of England scrapping the affordability test for mortgage customers from the beginning of August so there’s mixed news for home movers.

“First-Time Buyers in particular will find it increasingly difficult to find an affordable loan, following today’s news, although demand remains high, and the market continues to perform strongly.

“Today’s rate hike and the prospect of more to come means that those on a standard variable rate mortgage should consider looking at what options are available and perhaps locking into a more affordable fixed-term mortgage, before rates rise even further.”

Kindly shared by Smoove

Main photo courtesy of Pixabay