2023 Property Moves, Interest Rates And Mortgages

11th January 2023
Home > News > 2023 Property Moves, Interest Rates And Mortgages

The start of a new year is a time to look forward, and perhaps bring changes to your life. If you want 2023 to be the year you move home, help is available, but there are challenges to overcome.

The cost of moving home or managing a monthly mortgage is likely to rise, and this influences many decisions. If you want to be fully informed to make the smartest property move decision in 2023, we are here to help.

Did interest rates increase again in December 2022?

Yes, interest rates rose from 3.0% to 3.5% in December. This increase was the ninth increase since December of 2021, when the rate stood at 0.1%. The rate is at the highest point it has been at since 2008.

Will mortgage payments rise in 2023?

At the time of the December increase, the Bank of England said around four million households in the UK should expect to pay more each month on their mortgage. The typical monthly payment could increase by as much as £250.

What impact do these interest and mortgage rate increases have?

There are many ways people feel the impact of interest rate rises, including:

  • Prospective homeowners have to pay more each month on mortgage payments, which might cause to look to remortgage or even sell their property to downsize
  • Prospective homebuyers face larger monthly bills to step on the property ladder, so they might downscale their ambitions, or decide against buying for now


This is a very general overview of what happens with rising interest rates, and every individual or household should review their situation. If you are looking for property market guidance in Darlington, please contact us today.

What is happening in mortgage market at start of 2023?

A good starting point in understanding the mortgage market in 2023 comes with analysis from Octane Capital, who examined FCA and Bank of England data. For the third quarter of 2022, gross advances in the form of residential loans reached £85.9 billion, a record figure.

This figure represented a quarterly increase of 10.2%, and when compared to the same quarter of 2021, there was a 17% rise. The figure was also the most significant quarter since Q2 of 2021, all indicating buyer demand was still present moving towards the end of 2022.

However, with another base rate increase towards the end of the year, forecasts indicate lending for Q4 of 2022 stood at £77.5 billion. If this pans out, it represents a 10.4% increase compared to the Q4 of 2021 figure, but a fall of 9.9% on Q3 of 2022.

Jonathan Samuels, CEO of Octane Capital, commented: “Despite a string of consecutive base rate hikes, we continued to see a strong and consistent level of lending in 2022. However, it’s fair to say that turbulence seen at the back end of the third quarter has left its mark and we expect to see total lending drop during the final quarter of the year. Despite this, total lending should still sit higher when compared to 2021 but it’s probably fair to say that this will be the market peak, with 2023 likely to bring a slow but steady decline in lending figures - for the first half of the year at least.”

So, with a growing number of specialists expecting the tail end of 2022 to be a peak in the lending market, what does it mean for homeowners looking to sell?

Competition becomes higher for Darlington homeowners looking to sell

With fewer buyers looking at property, sellers need to work harder to connect with these willing buyers, and ensure their home is the one potential buyers see and love. This is work your estate agent should do on your behalf, and we aim to connect Darlington homebuyers and sellers.

Tony Dobbins from Anthony Jones Properties:

With so many industry experts predicting a housing market turn around for some time, they will inevitably get it right at some point. This is a concern for homeowners looking to sell, but the market isn’t going to fall away, and there will always be movement. In and around Darlington, new job opportunities create movement, both in and out. We are still receiving enquiries from prospective clients weekly, which is why we are sure homeowners can connect with buyers, but you need help from a specialist.”

At Anthony Jones Properties, we are pleased to say we have a track record in selling homes the right way.

We know you have choices when it comes to Darlington estate agents, but our track record speaks for itself. On the GetAgent site, you’ll see we have 139 reviews, and a 99% five-star rating. We’re determined to maintain (and even improve if we can) this record, and if you’d like to discuss your options when selling your Darlington home, please contact us today.

No matter what happens with mortgage rates in 2023, we are on hand to assist you with any move you wish to make.

Contact Anthony Jones for all Darlington property matters

If you are looking for help with any matter of the Darlington property market, it is best to speak to property professionals. No one knows for sure what is going to happen next, so we won’t claim to have all the answers, but the Anthony Jones team is keen to help you as best we can. If you would like to contact us over housing matters, please call us today on 01325 776424.


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