Home owners face £5,000 a year mortgage hikes - with repossessions doubling
Home owners could be paying nearly £5,000 extra a year for mortgages as interest rates on loans head towards seven per cent.
That will double this year’s projections for repossessions to 24,000 by 2024 according to an economic consultancy’s analysis of latest Bank of England figures.
Andrew Wishart of Capital Economics said: “The big risk is that the BoE can’t get inflation down and interest rates keep rising.
“Repossessions will come down the line in a year to 18 months.”
On Thursday the Bank of England announced the highest base rate rise in 27 years of 0.5% to 1.75% meaning an extra £52 a month on the average home loan - £198 more since last November.
But housing experts we spoke to think rates of between five and seven per …
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