As 2024 draws to a close, Richard from Citrus Financial sat down with Mortgage and Protection Adviser Holly Bettles to unpack the highs and lows of the property market this year. With house prices holding steady and interest rates fluctuating, what does this mean for buyers preparing to take the leap in 2025?
First-Time Buyers: Make Your Move Before 2025!
Here are the key takeaways:
- House Prices Are Still Rising; Despite a challenging economic backdrop, the latest Nationwide UK House Price Index shows house prices have increased by 1.2% month-on-month and over 3.5% year-on-year. Prices are now just 1% shy of their all-time high.
- Challenges for First-Time Buyers; First-time buyers are facing higher borrowing costs, with mortgage repayments taking up a larger share of take-home pay. However, lenders are offering solutions like:
- Increased income multiples: Borrow more based on your income.
- 100% mortgages: Using rental history to prove affordability.
- Deposit assistance schemes: Options like concessionary deposits or landlord discounts.
- Stamp Duty Deadline Looming; The current stamp duty threshold is set to end on 31st March 2025. If you’re hoping to benefit, now is the time to act. While time is tight, mortgage brokers can help expedite applications and liaise with solicitors to meet the deadline.
- Why Talk to a Broker? Mortgage brokers, stay on top of lender offerings and can provide tailored advice based on your unique situation. With constantly changing criteria and incentives, having a broker in your corner can make all the difference.
Looking Ahead to 2025
While uncertainty lingers, Holly emphasises that the best time to buy is when you find the right property for your needs. Waiting for the “perfect” moment could mean missing out as prices and rates shift.
If you’re considering buying in 2025, don’t wait. Speak to a broker today to explore your options and start planning your next steps.
Stay informed
Follow Citrus Mortgage Bytes for regular updates on the property market and mortgage advice. Our next episode in January will feature expert insights on house prices and market trends for the new year.
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Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage.
