Kent Estate Agencies – BANKS MUST PASS ON INTEREST RATE CUT TO HOMEOWNERS

Following the Bank of England Monetary Policy Committee’s decision to cut interest rates by 1%, Caroline Wellard, Joint Managing Director of Kent Estate Agencies, said:

“This cut, in reality, won’t do enough unless the banks play fair and pass the cut on to the homeowner".

“Low rates will increase confidence in the market but will not increase mortgage approvals. Bringing buoyancy back to the market lies not only with low interest rates but crucially also in new lending. Government and lenders must do more to encourage first time buyers on to the property ladder in order to reverse the current downturn in the market."

“This interest rate reduction, coupled with the mortgage assistance measures announced yesterday, act as a firm commitment to restoring health to the market. As members of NAEA we look forward to hearing what the Government now intends to do to assist first time buyers at this time.”