Paying for mortgage in the UK has been a major headache for homeowners for quite some time now – at least the past ten years. 2011 brings great relief for this category of people who also hope that the good times would continue into the future.
I am quite delighted at this news because it would for once put things in order; imagine the ripple effect a low mortgage budget would have on a family; better meals, more investment in education for their kids, a little extra to save from the take home pay, and much more.
As a keen follower of the trend in the housing industry, my first reaction to the recent report released by Barclays was ‘hurray!’ the report is a culmination of a poll on 1,000 homeowners which shows that about 80% of the respondents are comfortable with the low interest rate and the amount of mortgage to be paid.
The trend, attributed largely to the low interest rate environment, is despite the average house price having increased by 68% over the same period and the average salary increasing by just 37%. These are indeed happy times; increased salary, low interest rates, and a low mortgage period.
Barclays warns however, that homeowners should brace up for a possible increase in interest rates in the near future. The implication of the trend since late 2010 indicates that homeowners would operate in a more relaxed atmosphere while planning ahead for any major change. Of the 1,000 polled, 71% say they have plans in place to take care of this possible shift.
It’s not all heartbreaking news in the housing industry after all; I sincerely do hope that these good times would last long and help homeowners plan their lives better.
