Base rate to hit 4% by end of 2025 – Which?

Base rate to hit 4% by end of 2025 – Which?


Todays other news
The improved mood follows the latest Bank of England rate...
Four in five UK self-employed entrepreneurs have struggled to get...
The cost of home insurance in the UK increased by...
The lender has claimed to move away from the 'them...
L&G Mortgage Club has launched an end-to-end digital mortgage solution...

The consumer body Which? says base rate is expected to fall to 4.0% by the end of next year.

The group, in a forecast for the year ahead, says mortgage rates became slightly more affordable thanks to two base rate cuts in 2024. 

The average rate on a two-year fix fell from 5.93% to 5.62% over the course of 2024, and borrowers should expect more substantial drops in the new year, it predicts. 

“The base rate, currently 4.75%, is projected to fall to around 4% by the end of 2025. This could result in the cheapest two-year fixes falling from the current rate of 4.2% to around 3.5%” says the consumer body.

Its other predictions for 2025 include higher rents thanks to the long-term sell off of buy to let properties by landlords, house prices to go slightly higher, first time buyers to still struggle with affordability, and the early part of the year to see a frantic housing market as first timers seek to beat the stamp duty change deadline in April.

You can see the full Which? prediction here. https://www.which.co.uk/news/article/11-house-price-and-mortgage-predictions-for-2025-aWAm63L8xlwM

Share this article ...

Join the conversation: Login and have your say

Want to comment on this story? Our focus is on providing a platform for you to share your insights and views and we welcome contributions. All comments are screened using specialist software and may be reviewed by our editorial team before publication. Introducer Today reserves the right to edit, withhold or delete comments that violate our guidelines, including those that harass, degrade, or intimidate others. Users who post such content may be banned from commenting.
By commenting, you agree to our Commenting Terms of Use.
Recommended for you
Related Articles
The improved mood follows the latest Bank of England rate...
Four in five UK self-employed entrepreneurs have struggled to get...
The lender has claimed to move away from the 'them...
In the past four years 50% of buyers have been...
A prominent agency expects anxious buyers to keep searching...
The warning comes in the latest market snapshot from Rightmove...
Recommended for you
Latest Features
The improved mood follows the latest Bank of England rate...
Four in five UK self-employed entrepreneurs have struggled to get...
The cost of home insurance in the UK increased by...
Sponsored Content
Historically second charge mortgages or secured loans as they are...
Lenders must say what they mean and mean what they...
Fraudsters attacking the conveyancing sector, successfully stealing large sums of...

Send to a friend

In order to send this article to a friend you must first login. Click on the button below to login or sign up.

No one likes pop-ups ...
But while you're here