BREXIT BORROWERS: Homeowners believe leaving EU will force DOWN mortgage costs
BORROWERS think Brexit will force down mortgage costs and lead to cheaper interest rates, according to a new survey.
Homeowners think leaving the EU will force down mortgage costs
Almost half (43 per cent) of homeowners believe that changes in the market following the UK's decision in June to leave the European Union will enable them to negotiate a better homeloan deal.
And in another sign of confidence in a post-Brexit economy, 68 per cent of people said they did not plan to make any changes to their spending over the next two years and would continue to borrow as usual.
Only 12 per cent believe that borrowing would pose a risk in the current economic climate, found the Freedom Consumer Finance poll.
Borrowers' confidence extended to other areas as well with more than three quarters (77 per cent) saying Brexit will not affect their job security, as they are confident that the EU will still trade with the UK.
Hammond: UK borrowing is not down to Brexit uncertainty
Nearly 70 per cent do not plan to make any changes to their spending over the next two years
Jeff Poole, managing director of the finance group, said: "Changes in job security and everyday expenses like bills and groceries can have a big impact on an individual's life and financial decisions, especially for those who are considering buying a home or taking out a loan for a car.
It's therefore very positive to see that so many consumers are feeling confident about life after Brexit
"It's therefore very positive to see that so many consumers are feeling confident about life after Brexit."
The Bank of England cut interest rates ton 0.25 per cent in August, from an already record low of 0.5 per cent.
Almost half of homeowners believe changes after Brexit will leave them better able to negotiate
First-time buyers and movers then benefited from a ferocious round of cost-cutting on the part of mortgage lenders as they battled for market share.
Interest rates charged on homeloans plummeted and the Yorkshire Building Society, Britain's second-biggest mutual lender, unveiled a mortgage at 0.98 per cent, the lowest rate ever offered.