UK property ''slowing''

The Royal Institution of Chartered Surveyors (Rics) has announced that the UK property market is showing signs of cooling.

The growth of property prices has apparently slowed to its slowest pace since May 2006 with growth at 21.6 per cent being just a tiny bit over average.

This might be due to rising interest rates because the base rate rose to 5.25 per cent in January with many believing more base rate increases are also on the cards.

This comes amidst news that record numbers of first time buyers in the UK have been opting for fixed-rate mortgages due to the speculation over interest rate rises.

Some banks have even had to suspend their fixed rate mortgages because they have become so popular with people rushing to take them out in recent months.

Some 85 per cent of first time buyers opted for fixed rate packages in January, according to recent research.


© Adfero Ltd