Potential Brexit drives mortgage enquiries surge

Potential Brexit drives mortgage enquiries surge

The observation from the mortgage division of deVere Group, one of the world’s largest independent financial advisory organisation, comes as both sides of the debate on whether Britain should leave the EU up the ante in a bid to win UK voters hearts and minds ahead of the In/Out referendum in June.

Mike Coady, Managing Director of deVere Mortgages, comments: “The UK’s EU referendum is getting almost wall-to-wall media coverage. The issue is dominating news agendas and it is likely to increasingly do so as we move towards the vote on 23 June. The campaigning has noticeably ratcheted up a gear over the last two weeks.  This is especially so since the announcement of London Mayor Boris Johnson, who has a long-standing ambition to be Prime Minister, to back the Vote Leave lobby.

Despite pro-Brexit groups now accusing David Cameron’s In Campaign of scaremongering by using ‘Project Fear’ ahead of the EU referendum, the messaging of the Vote In campaigners appears to be making a real impact outside Westminster.”

He continues: “Since the campaigning really got underway in a big way two weeks ago, we have noticed a significant increase in the number of people enquiring about mortgage applications. There has been a 30 per cent week-on-week jump in the number of enquiries.


We attribute this uptick largely to the fact that the In Campaign has been keen to point out, and effective in doing so, that mortgages could become more expensive if Britain leaves the European Union following June’s referendum.”
 
Mr Coady goes on to say: “If the UK votes to leave the EU, Britain’s very large trade deficit may cause a run on sterling and, as such, require the Bank of England to introduce higher interest rates to stem it.  Of course, this would have the consequence that mortgages will become more expensive as lending rates rise.
 
Clearly, no-one can predict the outcome of the referendum, but it seems that the possibility of the fallout of Brexit is fuelling a surge in mortgage enquiries. People are rushing to apply for and lock-in a mortgage now as a precaution in case interest rates go up and mortgages become more costly.  I believe we can expect this surge in mortgage enquiries to intensify as we approach the vote.”

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Tom Allen
Tom Allen 20 Sep 2017

Absolutely agree with you!

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RyanGeo
RyanGeo 18 Sep 2017

A sharp correction would be a less dramatic expression to use. That is already underway in certain sectors in Reading where I practice as Chartered Surveyor

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sean benton
sean benton 01 Sep 2017

Identity theft is a thread for any profession. So,people should stay alarmed. I once take help from a letting agent and came to know that letting agents are taking every precaution to prevent fraudulent...

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Mark N.
Mark N. 30 Aug 2017

We have seen a surge in instructions over August and that should continue into September too.

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Chris
Chris 30 Aug 2017

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Christian Donovan
Christian Donovan 18 Aug 2017

The write-down on house values, combined with the fall in the GBP saddled the fund?s property portfolio with a 1.4% loss in the second quarter. The shocking amount of $240 million.

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Samantha Goodman
Samantha Goodman 11 Aug 2017

Interesting point of view.

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Samantha Goodman
Samantha Goodman 11 Aug 2017

It depends on the people, some older adults decide to make a long-distance move in order to live closer to their children or settle in a place with a lower cost of living.

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brandonlee10
brandonlee10 24 Jul 2017

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IrisJ.
IrisJ. 19 Jul 2017

Great advice, but may I also add that when buying an already built home, make sure you do all of the proper inspections. Most importantly pest inspection because people tend to get surprised when they

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IrisJ.
IrisJ. 17 Jul 2017

The third point is, in my opinion, the most important one. People have become too inconsiderate and careless when it comes to rented properties. If a landlord wants to protect their property, regular visits...

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cornishalan
cornishalan 10 Jul 2017

Added to the cost of purchasing these village properties are the above average maintenance costs. Particularly where the property is a listed building or requires specialist building skills such as thatching...

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