The Bank of England Owes Mortgage Payers a Big Apology
UK living standards are being hit by 8.7% CPI and 6% mortgage rates.
Where’s the relief?
Source: Bloomberg
This week I saw something I haven’t in a while: a brochure from Strutt & Parker advertising a price reduction on a rather charming Notting Hill house. It is now a mere £4,750,000 ($6 million) — down around 6% from its original listing price. And that might not be the end of it.
You’d usually expect houses in Notting Hill to be snapped up in minutes, but run your eye down a list of nearby houses for sale and you will see little snapping up going on. There are a good few that were listed in May — even one from December (now yours for £5,750,000, with monthly mortgage payments roughly £25,000) — that still haven’t sold. There will be more of this. Much more.