Will house prices drop? Experts forecast property market in run up to Christmas


How will mortgage rates affect house prices?

Experts say prices are increasing across the country, though it is greatest in the North West and East Midlands, and lowest in London.

Despite rumours of an increase in mortgage interest rates, there is still uncertainty about the effect this will have on house prices over the coming months.

Ross Counsell, chartered surveyor and Director at Good Move, told Express.co.uk: “Mortgage rates are currently super low, with many lenders offering sub one percent mortgages to buyers, which in turn increases demand for properties and consequently leads to higher house prices.

“However, inflation is expected to rise above four percent by the end of the year which will make home loans more expensive, but could slow demand for properties, making house prices decrease in the process.”

 



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