All eyes are on the news this week as we await something positive from the recently traumatised mortgage market.

Today, I’m breaking down what's happened so far, and how the property market could look in the aftermath.

As rapidly rising borrowing costs continue to make buying property unaffordable for many, the housing market looks to be entering a period of slower growth.

Slower growth is still growth though friends!

With interest rates continuing to increase alongside the cost-of-living crisis and higher mortgage borrowing costs, it seems we should look out for a downward movement on house prices in the coming months. Or at least more stock to choose from than we have gotten used to in the previous 12 months.

Here’s a summary of this week’s events:

1. The average five-year fixed-rate mortgage broke 6% for the first time in 12 years.
2. Some property ‘experts’ have predicted that average house prices might fall in the UK by 10% next year.
3. According to Halifax the pace of annual growth slowed for the third month in a row from 11.4% in August to 9.9% in September
4. Halifax and Wales were the strongest performing regions of the UK for growth with average house prices up 14.8% to £224,490 compared to a year ago.
5. London was the weakest performing region with annual growth of 8.1%

What happens next, is down to the many variables that exist in the property market and economy as a whole. My prediction for the coming weeks is a Brexit-like situation, where we all hold tight waiting for the after-effects of the government’s fiscal decisions to take shape.

Have I stopped investing? No.

Will I stop investing if/when we enter a recession? No

Are mortgage rates going to continue to rise? Yes, probably.

Right now, I have five buy to let mortgage applications in process and one residential mortgage, which was a casualty of the over 1000 withdrawn last month. But I wait patiently for a return of residential mortgage options.

I’m fully committed to continuing in property investment and helping others do the same.