Is the Bank of England Base Rate Cut a Boost for the Property Market?

- Wed 12 Feb 2025

In a widely anticipated move, the Bank of England recently reduced its base rate by 0.25%, bringing it down to 4.5%. This decision has been welcomed by the property industry, the question is; what impact will it have on both buyer confidence and market activity?

Kevin James, New Homes Director at Bradleys Estate Agents commented “For estate agencies, and the wider property market, this rate cut has a significant impact. Whilst mortgage rates are affected by multiple factors, we are confident it will encourage more people to consider buying or selling their homes. The early signs show there has been an increase in property valuations and viewings in the first days following the decision.”

The property market was reported to have witnessed an increase in activity compared with the same period last year nationwide. In the South West, this was the case but not to the same level which reflects the need for continued price adjustments in order to stimulate the market further across the region according to Kevin. “We saw property prices required correcting in 2024, which remains the same in many areas of the South West. Whilst demand from buyers has increased, sellers will need to ensure they are realistic with their pricing to ensure their move becomes achievable. We are encouraging buyers to get in the best buying position possible and then look to negotiate from a position of strength.”

If you are looking to buy or sell a property in Somerset, Devon or Cornwall now is the perfect time to take advantage of the favourable market conditions following the recent Bank of England base rate cut. Bradleys Estate Agents teams are ready to assist you with all your property needs, from valuations and viewings to finalising sales. Contact them today to book a valuation, register for properties or to arrange a mortgage appointment to check your affordability.

Is the Bank of England Base Rate Cut a Boost for the Property Market?

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