Insights
Base Rate is Cut to 4%!
by Melisa Cindil
The Bank of England has just cut the base rate to 4% — the first reduction in over a year — and it’s a move that could bring fresh momentum to the property market. But what does this actually mean if you’re looking to buy, sell, or remortgage?
Let’s break it down.
Let’s break it down.
What is the Base Rate and why does It matter?
The base rate is the interest rate the Bank of England charges banks and lenders to borrow money. When it goes up, mortgage rates and borrowing costs often rise. When it goes down, it can lead to cheaper borrowing and increased buyer demand which can shift the dynamics of the entire property market.
The new cut brings the rate down to 4%, sparking optimism among buyers, sellers, and homeowners alike.
What this means if you’re looking to buy
If you’re in the market to purchase a home, this is welcome news. A lower base rate often translates to:
- More competitive mortgage deals
- Lower monthly repayments
- Increased borrowing power
That means you may now be able to afford more or secure a better rate than even just a few months ago. With improved affordability, more people are expected to return to the market, giving it a much-needed boost.
What this means if you’re looking to sell
A base rate drop can reignite buyer confidence — and that’s a big deal if your home is on the market or you’re planning to list soon.
With more buyers able to secure financing, you may see:
- Higher levels of interest
- Quicker sales
- Potential for stronger offers
If you've been waiting for the "right moment" to sell, this could be it.
Why you should speak to a Financial Advisor
While the base rate cut presents exciting opportunities, it’s important to understand how it affects your personal circumstances. Mortgage rates vary by lender, loan type, and credit history — and not every deal on the market will suit your needs.
That’s why we recommend speaking with a trusted mortgage and financial advisor, like the team at Zest Money Group.
They can help you:
- Access exclusive mortgage deals
- Understand your borrowing potential
- Create a tailored plan whether you're buying, selling, or remortgaging
Whether you’re ready to move or just starting to explore your options, now is a smart time to act.
📞 Book a free consultation with Zest Money Group today to see how the rate cut could work in your favour — and take the next step with confidence.
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