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Mortgage broker - commentary on falling rates

Journalist:

ended 31. October 2022

Looking for commentary from a mortgage broker about the (slight) fall in mortgage rates since last week. I am writing about if it's a good time to buy a house (!) and regarding mortgage rates slightly falling since last Thursday I am looking for commentary on whether it's worth buyers waiting a bit to see if rates could fall further... 

3 responses from the Newspage community

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Editor
Rob Peters
Principal at Simple Fast Mortgage
The best time to buy a house was 20 years ago. The second best time to buy a house is always 'now'. Many people spend vast amounts of time and effort trying to predict the best time to enter the property market, but the biggest risk is not being in the property market at all. 'Time in', trumps 'timing', every time. We only need to look at the the last 50 years of property price growth to see the long-term trend is higher and higher prices.
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Jonathan Burridge
Founding Adviser at We Are Money
The conversation has to move from interest rates to what a borrower can afford to pay. If the monthly cost is within budget then the interest rate is only important for bragging rights. I know of would-be buyers who have been convinced for the last few years that prices are going to come off so they havent stepped on the ladder and in the meantime the rungs have kept moving up. Rates move up and down, it hasnt been this volatile for many years, but, this is more "normal". There is no point worrying over things outside of your control.
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Rob Gill
Managing Director at Altura Mortgage Finance
While mortgage rates have fallen since their peak in the aftermath of the mini-budget, bond yields and swap rates have fallen further still, which could indicate there is further to go in terms of mortgage rates. A wait-and-see approach could therefore reap dividends for borrowers who are not in a hurry, with the rescheduled fiscal statement now due on November 17th a key date to watch out for.