FINANCE
any defects – however, McArdle adds, it’s important to stay focused. “Negotiating on the property price will mean back and forth with the seller, as they put in their counter- offers. To secure a price you are happy and comfortable with, it’s important to set a budget in advance to ensure that you do not go over it in the moment.You need to be willing to walk away from a deal so that you do not overextend yourself or offer too much in a bidding process.” Caution is also appropriate when it comes to mortgages – a variable rate is risky in such a volatile climate, and while a three or five-year fix will cost slightly more than a two-year fix, it gives more time for the current crisis to resolve and offers longer term security. Mortgage companies are also likely to be more cautious in their lending, so maximising your deposit and ensuring your credit rating is the best it can be will
than those who are waiting for their own property to be purchased,” You must, however, be ready financially – so it’s more important than ever to have your paperwork sorted, your deposit funds accessible and a Mortgage in Principle in place. And in such a turbulent mortgage market, a broker can be your best friend. “Between the chaotic rate of change in the mortgage market, and continued house price volatility, it’s not easy for would-be homebuyers at the moment,” says Chris Storey, Chief Commercial Officer at Atom Bank. “For brokers and borrowers, now is the time to prioritise working with lenders who can move quickly, providing reassurance and easing some of that stress. In such fast-moving volatile times, brokers have a crucial role to play in bringing some calm, and the right partnerships can help them do just that.” Another advantage of the current climate is that you may be able to haggle, notes Karl McArdle. “Research the area to see if there are any other new properties under construction, as rival developers will be competing for sales. Developers want a quick sale, so they may be willing to accept a lower offer than the listed asking price. If your offer is turned down, it’s always worth negotiating on things like the cost of fitted appliances.” While it’s rare that developers will drop much on asking price, many will offer incentives ranging from money towards your deposit to upgrades on fittings or floorcoverings. Home-movers and exiting landlords are far more likely to accept a lower price offer – especially if your survey has thrown up
EXPERT COMMENT
The backdrop for buyers has become more complicated in just a few days. Hopes of a steadier rate environment have been disrupted by fresh instability following the war in Iran. While there will not be a sudden jump in mortgage rates, lenders may pause planned reductions, with swap rates rising sharply as geopolitical tensions push up oil prices and revive in ation concerns. This shift makes it harder for households to judge when affordability will genuinely improve. For anyone planning to buy or remortgage, it is worth taking practical steps now. Most lenders will allow a mortgage offer to be secured up to six months ahead, which can give some protection against further volatility. Those looking to buy should also factor in the possibility that pricing may remain uneven for a while, so stress testing repayments at slightly higher rates is sensible. In a market driven as much by geopolitics as by domestic demand, being organised is one of the few areas where borrowers still have some control. Although buyer interest has improved on last year, sentiment remains fragile. Global uncertainty could slow the momentum that had been emerging, particularly if markets continue to expect rmer in ation. That would keep mortgage pricing stickier than borrowers hoped, limiting any meaningful uplift in demand.
help to tip the scales in your favour. While the increases in mortgage
rates have been an unexpected shock to many would-be buyers, those who are still ready and able to buy may find they are compensated by a better choice of property and more opportunities to secure a discount. Richard Donnell, Executive Director at Zoopla, says, “The market remains active, but becoming increasingly reliant on a smaller pool of serious buyers. Some early stage buyers are adopting a wait and see approach but there is a sizable group of committed buyers who are pressing ahead with housing purchases. For buyers, there is less competition and more choice, but affordability is becoming more stretched.”
Karen Noye , Mortgage
Expert, Quilter
First Time Buyer June/July 2026 115
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