UK Mortgagez – UK Home Loans Information

I am always looking for interesting uk mortgage material.

I currently have two main websites that I would like to  tell you about.

Firstly Housepricecrash.co.uk which is a community website that has a forum about mortgages and other news about mortgages. In my opinion the site is somewhat biased against house prices falling but I can understand the rational all the same and appreciate the information that they provide on the subject.

The second site that I like to look at is the British Bankers Association or the BBA.  This site provides good industry knowledge and insights into the UK economy.

I would like to add that I do not have affiliations with either of these sites.

I have been doing some reports lately on the UK lending market. It seems to be that the UK mortgage market is growing steadily while the short term debt market is declining.

There are a number of reports showing this. Reasons could be that people are finding it harder to take out short term credit and are securing their credit with assets.

In the August Mortgage report on the UKMortgagez.co.uk website.

It will be interesting to see if this trend continues.

I thought today I would talk about a commonly overlooked economic factor in the UK economy. That being the inflation rate. The inflation rate directly affects the way the Bank of England sets the interest it lends to the commercial bank thereby affecting the interests we as UK citizens need to pay the banks.

Sometimes banks require security over these borrowings and that’s when they put liens over assets like our properties. This is commonly called a mortgage.

So as you may have guessed if the inflation rates starts to climb so does the interest rate setting off a chain reaction that ultimately means that you need to pay more at the end of every month in order to keep the banks from repossing your property.

With this in mind I would like to refer you to the latest changes in the UK inflation rate.

In this report you will see that inflation in the UK is moving up slightly. This is nothing dramatic by any means but it should be monitored and decisions around mortgages and other borrowing should be considered. Perhaps it would be wise to try to fix your mortgage interest rate now vs going with flexible interests in your borrowings.

Just a thought.