Speculation surrounding the outcome of this week’s Referendum continued in the weekend’s financial press. The Mail on Sunday took a look at how different aspects of our finances might be affected, predicting that mortgage rates could come down in the short term but increase further down the line in order to curb inflation. The Sunday Times reported on a survey they had carried out, which suggested that around 14% of people have put off purchasing a new property until the outcome of the referendum is known.
Continuing with property prices, both the Financial Times and the Sunday Telegraph covered a recent report which highlighted the gap between purchase prices for flats and houses. Average house prices have increased by around 21%, but for flats this figure is lower – at around 15%. This will come as a shock to many ‘Second-steppers’, who may be relying on an increase in value to provide the deposit for their next move. The FT pointed to a separate study in fact, which suggested that those looking to move from their first property would need to find on average £125,700 to cover the shortfall, and many borrowers may need to return to the Bank of Mum and Dad to help supplement this
What the papers said about property prices and the Referendum