Breaking Property News 20/03/25

Daily bite-sized proptech and property news in partnership with Proptech-X.

 

Gareth Samples CEO of The Property Franchise Group gives analysis on interest rates

No change in the Bank of England base rate in March

The Bank of England held interest rates at 4.5%.

The nine-person Monetary Policy Committee, which sets the rate, voted 8-1 in favour of holding – with one member voting to cut.

That decisive vote is being seen by some as a sign that rates will remain at 4.5% for longer than expected. But – as with all economic forecasts – no-one can be certain.

The MPC said “global trade policy uncertainty has intensified” in recent weeks, citing US tariffs and other countries’ responses.

Yet while Bank of England Governor Andrew Bailey acknowledged that uncertainty, he also said: “We still think that interest rates are on a gradually declining path.”

Gareth Samples, CEO of The Property Franchise Group, comments: “The Bank of England’s decision to keep the base rate unchanged comes as no surprise, given the delicate balance between controlling inflation and supporting economic growth. While further rate cuts are anticipated later in the year, it’s clear that the Monetary Policy Committee is taking a measured approach.

“Encouragingly, we are seeing a steady recovery in market activity. Sales volumes have returned to pre-pandemic levels, mortgage approvals are on track with long-term trends, and first-time buyer numbers have rebounded significantly, spurred on by improving affordability and the impending stamp duty changes.

“Mortgage rates have also eased, with some competitive fixed-rate deals now available below 4% for those with a strong deposit. This is providing buyers with greater confidence to move forward with transactions, which in turn is supporting moderate house price growth.

“While external pressures such as geopolitical uncertainty and inflationary risks remain, the fundamentals of the housing market remain robust. Moderate GDP growth is still expected to underpin sustained sales activity, and with buyer confidence improving, we anticipate a stable and positive year for the property market in 2025.”

Iain McKenzie, CEO of The Guild of Property Professionals, comments: “As expected, the market will have to wait a little longer for the second bank rate cut of the year. The Bank of England continues to walk a fine line, balancing efforts to control inflation with the need to stimulate economic growth.

“While the consensus forecast suggests the base rate will be around 3.75% by year-end, the Monetary Policy Committee is in no rush to reach that level, instead opting for a slow and measured approach to further rate cuts.

“The good news is that following the bank rate cut to 4.5% in February, there has been an increase of lenders that have introduced more competitive mortgage rates. For borrowers with a significant deposit, some fixed rates have recently fallen below 4%.

“Although the economy faces certain challenges in 2025, particularly from geopolitical tensions and lingering inflationary pressures – moderate GDP growth is still expected to drive strong levels of sales market activity and modest price growth throughout the year.”

Andrew Stanton Executive Editor – moving property and proptech forward. PropTech-X

Andrew Stanton

CEO & Founder Proptech-PR. Proptech Real Estate Influencer, Executive Editor of Estate Agent Networking. Leading PR consultancy in Proptech & Real Estate.

You May Also Enjoy

Rightmove logo
Breaking News

Rightmove’s weekly mortgage tracker 30/05/25

Average rates for 2-year and 5-year fixed-rate mortgages   Term Average rate Weekly change Yearly change 2-year fixed 4.64% +0.03% -0.78% 5-year fixed 4.61% +0.03% -0.45%   Lowest rates for 2-year and 5-year fixed-rate mortgages   Term Lowest rate Weekly change Yearly change 2-year fixed 3.82% +0.02% -0.93% 5-year fixed 3.88% +0.09% -0.55%   Average…
Read More
Home and Living

Carpet Cleaning Specials in Stanton: Save on Your Next Service

Sure, the carpeting in your Stanton home is inviting and adds warmth and comfort, but it can also store harmful dirt, allergens, and bacteria that can affect your family’s health. This makes regular carpet cleaning not only better for your health, but also your wallet. With Carpet Cleaning Stanton specials, you can save on the professional services…
Read More
Rightmove logo
Breaking News

Seven in ten branches now using Rightmove’s insights and training platform

New figures from Rightmove, the UK’s largest property platform, show that seven in ten estate and letting agency branches are making use of its insights and training platform, the Rightmove Hub. This is up from 56% of branches back in 2023. The Hub, first launched ten years ago and recently revamped, has expanded in response…
Read More
Letting Agent Talk

From Fixer-Upper to Profitable Asset: Strategic Renovations for Landlords

Did you buy a fixer-upper? Or maybe you inherited one. Either way, you’re standing in a place with peeling linoleum, a questionable smell, and wallpaper that could file for social security. The big question: Do you patch things up, go full HGTV, or just torch it for the insurance (don’t do that)? First, take a…
Read More
Breaking News

Household Costs Indices for UK household groups: January to March 2025

Household Costs Indices, 12-month growth rates, expenditure shares and contributions for UK household groups and all-households. These are official statistics in development. Main points Overall UK household costs, as measured by the Household Costs Index (HCI), rose by 2.6% in the year to March 2025; this is a fall from 2.9% in the year to…
Read More
Surge in country and seaside property values
Breaking News

Why Rural House Prices Are Surging Faster Than Cities

New analysis from Open Property Group reveals that rural England is facing an affordability crunch, as house prices in the countryside outpace urban growth, despite lower average wages and higher living costs in remote areas. These shifting dynamics are challenging the long-standing assumption that rural life offers a more affordable and sustainable alternative to the…
Read More