27/05/2026
3 consecutive rate rises. What does it actually mean for the property market? 📈
While higher interest rates make borrowing more expensive, they also reduce borrowing capacity for buyers.
In many cases, three consecutive 0.25% rate rises can reduce borrowing power by around 7–10% depending on a buyer’s income, debts and financial position.
From an agent’s perspective, that’s why we’re seeing a stronger focus on cash buyers and shorter finance clauses, simply to reduce the risk of contracts crashing during the finance period.
The market is still moving, but strategy and buyer quality are becoming more important than ever.
If you’d like to understand how the current lending environment could impact your property plans, feel free to reach out.
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