Do interest rates drive the housing market?

Published 15th of June, 2022

Earlier this month I was interviewed by Iain McKenzie the CEO of the Guild of Property Professionals. We discussed the housing market and the interaction between interest rates and the housing market.

The link between Bank Rate (the main interest rate set by the Bank of England, which impacts all other UK interest rates) and the housing market is not as clear-cut as one may think.

We also discuss what our currently inflationary environment means for house prices, and

Is now a good or bad time to be buying and selling a home.

During the podcast I reference the housing market predictions I made at the start of the year (what kind of fool makes predictions like that..?) and you can read my full article on our housing market forecasts here. I might live to regret saying this, but currently, as we get close to the half way point I am happy to stand by them as published in January 

You can listen on spotify

or on Apple podcasts

I mention a few charts in the podcast and you can see these charts below:

The charts mentioned in the podcast

The correlation one

Graph chart showing correlation between bank rate and mortgage approvals twindig Housing Hailey

The house prices tend to go up one

graph chart showing house annual price inflation 1931 to 2021 twindig Housing Hailey

The House prices and Inflation one

graph chart showing house price inflation and inflation retail price index 1950to 2021 twindig Housing Hailey

I hope you enjoyed the podcast

Housing Hailey

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