As mortgage rates continue to soar, the UK public is increasingly turning to Google for guidance and support. The mortgage crisis has sparked a surge in online searches for terms such as ‘Mortgage help’, reflecting the growing concern among Brits. This article delves into the current state of the mortgage crisis in the UK, exploring the significant rise in related Google searches and the financial implications for homeowners and renters alike.
- UK Google searches for ‘Mortgage help’ have surged by 1,366% in the past week.
- ‘Mortgage support’ searches have seen a 213% increase in the past 30 days.
- ‘How to afford mortgage’ and ‘Remortgage’ searches have risen by 324% and 106% respectively.
- Queries for ‘When will interest rates go down’ and ‘When will mortgage rates go down’ have increased by 487% and 268% respectively over the past year.
- The average two-year fixed residential mortgage has risen to 6.66%, the highest since the 2008 financial crisis.
- Nearly a million borrowers could see their mortgage payments increase by up to £500 a month by 2026
- Rent increase’ searches have soared by 235% over the past five years due to the financial pressure on renters.
The Surge in Mortgage-Related Searches
The mortgage crisis has led to an unprecedented increase in related Google searches in the UK. The term ‘Mortgage help’ has seen a staggering 1,366% increase in the past week, indicating a significant rise in Brits seeking information about the crisis. Similarly, the search term ‘Mortgage support’ has seen a 213% increase in the past 30 days, more than double the average volume.
Affordability Concerns and Remortgaging
The financial stress caused by the crisis is evident in the surge of searches for ‘How to afford mortgage’, which has risen by 324% in the past five months. The term ‘Remortgage’ has also seen a 106% increase in the past 30 days, suggesting that homeowners are considering remortgaging to lower their monthly payments.
Interest Rate Concerns
The British public is seeking information and predictions about the future of the crisis. Searches for ‘When will interest rates go down’ and ‘When will mortgage rates go down’ have seen a massive increase of 487% and 268% respectively in the past 12 months.
Rising Mortgage Costs
UK fixed-rate mortgage costs have reached a new seven-month high, adding further pressure on the finances of Brits, which may be affecting their credit score and financial well-being. The average two-year fixed residential mortgage has risen to 6.66%, up from 6.63% on Monday, the 10th of July, marking the highest level since the 2008 financial crisis.
Impact on Mortgage Payments
According to figures released by the Bank of England, nearly a million borrowers could see their mortgage payments increase by up to £500 a month by 2026. This is equivalent to almost a week’s worth of pay for the average employee. The term ‘How to pay mortgage’ has seen an 186% increase in Google searches in the past 30 days, reflecting the growing pressure on homeowners.
The Effect on Renters
The financial pressure has also significantly impacted renters, with increasing rent costs as buy-to-let landlords pass on the effect of higher mortgage repayments. Google searches for ‘Rent increase’ over the past five years in the UK have soared by 235%.
A spokesperson from L&C Mortgages, who commented on the findings:
“The past few weeks have seen the rising mortgage payments and high-interest rates make front page news, with these increases pressuring the finances of millions of borrowers in Britain, triggering a surge of uncertainty about where interest rates will go next.
However, the latest news has now caused a surge of online interest in those looking to get more information and help on managing their mortgages, interest rates and rent, highlighting the massive impact of the cost-of-living crisis on the British public. There are still plenty of deals available for borrowers looking to switch, but remortgaging a home is a decision that should be made with thorough research and help.
Some tips to keep in mind during these uncertain times would be to shop around for the best rates available, which can be done online or by using a mortgage broker. Or look to request to extend the term on your mortgage so that you can pay a smaller amount each month but for a longer period. Another option could be to switch to interest-only temporarily; this can reduce the monthly amount of your payments in times of need and financial difficulty. Lastly, if you are struggling for tailored support, talk to your lender to help find the best solution.”