Housing experts say mortgage rates are likely to hover in the 7 percent range in May, amid elevated inflation that is keeping the Federal Reserve from reducing borrowing costs. The high cost of home loans may keep buyers at bay as they await the decline of rates before they can make the leap toward homeownership.

Lenders, including in the past few days, NatWest, Santander and Nationwide, have been increasing their mortgage rates

The average UK home fell in value by 0.4% in April, following a 0.2% fall in March, according to Nationwide, taking account of seasonal effects.

Buyers have become cautious amid rising mortgage rates, which has led to the slump in house prices, according to brokers. Stephen Perkins, managing director at Yellow Brick Mortgages, said: “If you wanted evidence of how mortgage rates can impact the property market, this is it.

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UK HOUSE prices fell at the sharpest pace in eight months after the cost of mortgages crept higher, one of the country’s biggest lenders said. Read more at The Business Times.

House prices fell in April as potential buyers continued to face pressure on affordability, according to the Nationwide. The UK's biggest building society said that UK house prices were down by 0.4% compared with the previous month.

Nationwide blames April slowdown on ‘affordability pressures’ on back of high mortgage rates

The UK's biggest building society said that UK house prices were down by 0.4% compared with the previous month. It said the average home cost £261,962, some 4% below the peak in the summer of 2022. The rising cost of borrowing was key to the latest fall in prices,

UK house prices down by 0.4% as buyers delay or seek cheaper homes in the face of cost of living pressures and higher interest rates