Thankfully, after a period of stagnation, the Aylesbury property market started to recover slowly in 2010, but really took off strongly in late 2013 / early 2014 as property prices started to rocket. However, the heat was taken out of the market in late 2014/early 2015, with the new mortgage lending rules and some uncertainty, when some people had a dose of pre–election nerves.
With the Conservatives having been re-elected in May, the Aylesbury property market regained its composure and in fact, there has been some ferocious competition among mortgage lenders, which has driven mortgage rates to record lows. Whilst I have no actual figures to back this up, I know an awful lot of long serving bank managers, mortgage arrangers and people in the finance industry, all of whom have told me on previous occasions when interest rates rose (1987, 1992, 1997 and 2003), it wasn’t the first rate rise that was the catalyst for many homeowners and landlords to remortgage but the second or third increase. The reason being that it was only by the time of the third rate rise that it started to hit the wallet. However by the time of the second or third rate rise the best fixed rates, were in all instances, no longer available as they had been pulled by the banks months before.But here is the good news for Aylesbury homeowners and landlords, over the last few months a mortgage price war has broken out between lenders, with many slashing the rates on their deals to the lowest they have ever offered. I read that the well respected
Interestingly, according to the Council of Mortgage Lenders, the level of mortgage lending had soared to a seven year high in the
UK. So what about
Aylesbury? In Aylesbury, if you added up
everyone’s mortgage, it would total £1.7 billion. Even more interesting is when we look at Aylesbury
and split it down into the individual areas of the town,
- HP17 - Aston Sandford, Bishopstone, Butler's Cross, Dinton, Dorton, Ellesborough, Ford, The Kimbles, Kingsey, Haddenham, Meadle, Nash Lee, Stone, Upton, Westlington £254.7m
- HP18 - Ashendon, Boarstall, Brill, Chearsley, Chilton, Cuddington, Dorton, Easington, Edgcott, Grendon Underwood, Ickford, Kingswood, Long Crendon, Lower Winchendon, Ludgershall, Oakley, Shabbington, Upper Winchendon, Waddesdon, Westcott, Worminghall, Wotton Underwood £401.7m
- HP 19 - Fairford Leys, Prebendal Farm, Quarrendon, Watermead £456.3m
- HP20 - Aylesbury Town Centre, Broughton, Elmhurst £205.7m
- HP21 - Bedgrove, Elm Farm, Queens Park, Southcourt, Walton, Walton Court £540.6m
- HP22 - Aston Abbotts, Aston Clinton, Bierton, Buckland, Drayton Beauchamp, Dunsmore, Halton, Hardwick, Hulcott, North Lee, Nup End, Oving, Pitchcott, Quainton, Rowsham, Stoke Mandeville, Weedon, Wendover, Weston Turville, Whitchurch, Wingrave £585.4m
Since 1971, the average interest rate has been 7.93%, making the current 0.5% very low. So, if interest rates were to rise by only 2%, according to my research, the 6,793 Aylesbury homeowners, who have a variable rate mortgage will on average have to pay an additional £238 a month in interest payments.I know over the last couple of posts, I have talked about mortgages a lot however, I am not a mortgage arranger but a letting agent and as regular readers know, I always talk about what I consider to be the most important issues when it comes to the Aylesbury Property market and at the moment, in my humble opinion, this is the most important thing!
Buy to let is all about maximising your investment, increasing income and reducing costs. I give advice, opinions, thoughts, concerns, worries, expectations and fears about the Aylesbury Property market in my blog on the Aylesbury Property Blog. If you are interested in the Aylesbury Property Market you could do worse than read my Blog to keep informed of market trends. http://theaylesburypropertyblog.blogspot.co.uk/ Or you could drop in and see me when you are next passing 5 Temple Street Aylesbury