Brexit, Covid, Inflation rates. Every few weeks, months or even years, there’s a new reason convincing you to buy a property or to not buy a property. For most people, the overload of information in this respect is not only conflicting but also daunting. In particular for first time buyers or those investing larger sums of money in luxury real estate. At The Belfair Group, we not only aim to guide both prospective buyers and sellers with their sales and purchase but also, the lead up to such significant transactions.
Buying a home at any stage of your life is a momentous time. Whether it be your first home, your leap into the dream detached suburban home or simply upgrading your luxury property. Each of these processes come with many questions, concerns, and general deliberation that often, a bank, broker or even a family member is unable to guide you on. That’s why, research at early stages is crucial.
We discussed inflation rates with our Founder and Director, Farid Zohrabi who comments, “inflation rates are on the rise, and whilst this may be a concern for prospective buyers right now, we want to show individuals that in actual fact, now is the best time to buy”.
So why is now the best time to buy your dream property?
First, we need the facts. The Bank of England recently announced that interest rates will rise from 0.75% to 1%, but is this such a significant ordeal for home buyers? Yes and no. Interest rates at 1% are the highest since 2009 which again, on the face of it, can appear particularly daunting for those looking to purchase their home. So, if inflation rates are rising and property prices are sky rocketing – why is it still a good time to buy? Because time is of the essence. Energy prices are soaring, demand for properties is at an all-time high and as a result, mortgage costs are also rising. Experts have analysed that buyers who are purchasing properties now compared to if they had purchased in March 2022, are paying an extra £612 per year thus concluding that in light of all of the above mentioned costs rising, now is the best time to take the leap and proceed with their sales. UK Government has warned that inflation could potentially reach double digits by the end of 2022. Experts predict that the Bank of England base rate could potentially be expected to rise above 2% in the very near future If this were to be the case therefore, the trend clearly portrays that buying a property now, as opposed to continuing to wait, is the wisest move.
Expert analysis therefore suggests that whilst costs and prices do appear to be at an all-time high presently, the predictions portray that this will simply increase in months to come. As such, the ‘price boom’ is in fact, a good time to purchase.
Contact us today for a free consultation if you are ready to begin the process of finding and buying your dream home with The Belfair Group.