Mortgage News & Market Updates

In August, the typical monthly payment reached £1,002.27, indicating that, despite some cuts to Bank Rate over the last year, homeowners are still facing affordability challenges due to higher inflation. Less than a year ago, average repayments were below £950 and, in 2020, homeowners were paying an average of £680 per month. This sharp increase shows how much borrowing costs have risen in the last five years. Many fixed rate deals that were secured during the pandemic are coming to an end in 2025. As these mortgages expire, some borrowers can expect to see their monthly repayments more than double. In mid-August, the average five-year fixed mortgage rate eased below 5% for the first time since May 2023. However, major lenders have started increasing their rates again, largely due to the rising yield on government bonds, known as gilts. If you're dealing with higher mortgage costs, you don't have to manage alone. Our advisers can help you understand what the changes mean for you and explore the best options for you and your circumstances.

Your home may be repossessed if you do not keep up repayments on your mortgage.

In Q2 of this year, half of new mortgages were two-year deals, with only 35% opting for five-year terms. Borrowers are probably hoping to remortgage to a cheaper deal if Bank Rate keeps falling over the next two years. This marks a change in attitude since 2022 - interest rates were beginning to rise, so buyers were hoping to keep mortgage costs low by choosing a five-year fixed deal. A longer mortgage deal is still worth considering, despite hopes that interest rates will ease in the coming years. Analysts do not anticipate mortgage rates to fall to the record lows seen in 2021; instead, they expect that mortgage rates will settle at a higher level, potentially around 3.5%. Also, potential cuts to Bank Rate are taken into consideration when pricing fixed rate mortgages, so some experts believe that current rates are the best that we will get for a while. Deciding on your next move? It's essential to seek advice so you can make an informed decision about the mortgage deal that's right for you.

Your home may be repossessed if you do not keep up repayments on your mortgage.

The report predicts that house price growth will be subdued in the short term, with the average home expected to rise in value by just 1.0% in 2025 and 2.0% in 2026. This slow pace is due to ongoing uncertainty about the economy and weak demand from buyers. However, the landscape is expected to gradually improve as interest and mortgage rates ease. Savills predicts house price growth of 4% in 2027 and 5% in 2028, with a peak of 5.5% in 2029. Across the five-year period, property values are anticipated to rise by a total of 22.2%. Regional forecasts show that the strongest growth is forecast in the North East, and Yorkshire and the Humber, where prices are predicted to rise by 28.8% by 2030. On the other hand, weaker growth is expected in London and the South of England, where houses are less affordable. In the capital, home values are only expected to increase by 13.6% over the next five years. Need support navigating the changing property market in the coming years? Contact us for advice.

Your home may be repossessed if you do not keep up repayments on your mortgage.

In August, a third (33.5%) of FTBs bought a semi-detached property, up 1.7% when compared with the same month in 2024. Meanwhile, only 19% purchased a flat, representing a 2.7% annual decline. The most popular property type among new homeowners was three-bedroom properties, which accounted for 46% of all FTB purchases in August. Historically, FTBs would enter the market by buying a smaller property, with the intention of moving up the ladder later. However, it seems that this trend is changing. Many new homeowners are aiming to purchase a longer-term home from the outset, rather than upsizing after a few years. To afford larger homes, FTBs are opting for longer mortgages, with 41.3% taking out a mortgage of at least 30 years in August. In fact, 37% of borrowers said that mortgages spanning 30 to 40 years are more appealing because it meant lower monthly repayments. However, repaying a mortgage over a longer period means paying more interest overall, increasing the total cost of borrowing.

Your home may be repossessed if you do not keep up repayments on your mortgage.

According to the statistics, 82,750 account holders withdrew money from their LISA to buy their first home, which is about 30,500 more than in the previous tax year. Also, the average withdrawal for a property purchase increased by around £857 to £15,782 in 2024/25. The increase is likely due to FTBs rushing to complete their transaction before the stamp duty changes came into effect in April 2025. While many are using LISAs for their intended use, there are some account holders who are paying the price for dipping into their savings. Money can be withdrawn from a LISA when buying your first home (costing £450,000 or less), when you are aged 60 or over, or if you are terminally ill (with less than 12 months to live). If you withdraw funds for another reason, there is a charge of 25%. In the year 2024/25, there was £102m in LISA withdrawal charges, up from £75.3m the year before. It's important to explore alternative options before making an unauthorised withdrawal from your LISA.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Remote working became the 'new normal' during the pandemic, but now three-quarters (76%) of employees are back working in the office at least three days a week. Many people can't afford to live in London, where the average house price is £588,300. Peterborough was ranked the best commuter town near the capital; it's a 50-minute train to King's Cross and the typical home costs £238,800. In Edinburgh, the average property costs £287,110; however, Wishaw is located 45 minutes away by train and offers lower prices of £111,670. In Cardiff, homes are typically £280,760, but in New Tredegar, the top commuter town, properties are less than half the price at £108,600.

Your home may be repossessed if you do not keep up repayments on your mortgage.

In England and Wales, about 1.7 million homes (one in 15 properties) have undergone significant renovation work. These homes are marked with 'official improvement indicators', showing that they have had major structural changes, such as an extension or loft conversion. Legally, Council Tax cannot be increased on homes with improvement indicators until the property is sold or there is a general revaluation of all domestic properties. The growing preference for renovation over relocation is likely due to the rising costs associated with moving home, including Stamp Duty charges, mortgage rates and property prices.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Updated kitchens and bathrooms were the important features, with 77% of respondents citing these as key influencers. Meanwhile, an attractive garden (55%) was more favourable than exterior presentation (23%), suggesting that kerb appeal is currently less of a priority among buyers. But presentation inside the home does seem to matter, with 49% of respondents citing cleanliness as a key influence. Bold interior colour schemes were the bottom of the priority list, with only 4% looking for this feature.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Some homeowners have been wrongly advised that properties in need of repair are uninhabitable, so are eligible for non-residential rates of SDLT. Rogue agents are suggesting that, for a fee, they can secure a tax refund on behalf of the buyer. However, a Court of Appeal decision has confirmed that properties needing repair are still residential and repayment claims based solely on a property's condition are not valid. Anthony Burke at HMRC has warned, "Homebuyers should be cautious of allowing someone to make a Stamp Duty Land Tax repayment claim on their behalf. If the claim is inaccurate, you could end up paying more than the amount you were trying to recover."

Your home may be repossessed if you do not keep up repayments on your mortgage.

While the pandemic-driven rush for countryside homes has eased, demand for space continues to support stronger growth in rural areas. Most home movers over the past five years stayed in similar locations, with 63% moving within the same type of area. Just 9% moved from towns or cities to rural spots, partly balanced by 7% heading the other way. Younger buyers tended to favour urban moves, while older movers, especially those over 55, were more likely to head for the countryside, often in search of more space or a bigger garden.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Prices also rose 0.5% month on month, once seasonal factors were taken into account. There was a surge in property transactions in March, as buyers rushed to complete purchases ahead of higher Stamp Duty charges. The number of owner-occupier completions was double the usual level and the highest since June 2021. Despite the end of the Stamp Duty holiday, Nationwide believes the housing market is holding up well. Mortgage approvals remain steady and the backdrop for buyers is still broadly supportive. Lower interest rates in the months ahead could help ease borrowing costs further.

Your home may be repossessed if you do not keep up repayments on your mortgage.

The Help to Buy scheme ran for ten years, between 2013 and 2023. Buyers of new builds were lent up to 20% (or up to 40% in London) of the property's value as an equity loan. The loan is interest-free for five years and is repayable when the home is sold. According to a Freedom of Information request, there are already 101,000 Help to Buy accounts that have become interest-bearing. The average monthly interest payment on a Help to Buy loan is approximately £107. If you're faced with higher monthly repayments, you don't have to go through it alone. Professional advice can help you take control of your finances.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Northern Ireland saw the strongest growth of 9.7%, while East Anglia was the weakest area with only 1.1% annual increase. House prices are increasing at the fastest rate in areas with the most affordable properties. The rise in supply of homes seems to have contributed to the slowdown in house price growth. Buyers have greater choice, with 14% more homes for sale than this time last year. In regions where supply has increased the most (London, the South East and South West), house prices have risen by no more than 0.5%. Many lenders have eased their affordability criteria, so mortgage holders can afford to borrow 20% more than they could at the start of 2025. This should boost transactions in the second half of the year and into 2026. Robert Gardner, chief economist at Nationwide, commented, "We still expect activity to pick up as the summer progresses, despite ongoing economic uncertainties in the global economy, since underlying conditions for potential homebuyers in the UK remain supportive."

Your home may be repossessed if you do not keep up repayments on your mortgage.

There were 41,500 remortgage approvals, up 6,200 on April and the highest level since February 2024. There was also a rise in new mortgages for the first time since December, with 63,000 approvals. Meanwhile, gross mortgage lending was £20.4bn in May, £16.9bn higher than the previous month. Jason Tebb, President of OnTheMarket, said that the rise in purchase approvals could suggest that the market is getting "back on track". He added, "Further rate reductions from the Bank of England would provide more impetus for the market in the second half of the year."

Your home may be repossessed if you do not keep up repayments on your mortgage.

The number of sales agreed was up 6% annually in June, which coincided with the stock of new property listings going up by 14%. This indicates that buyers are regaining confidence, with demand rising by 7%. Executive Director at Zoopla, Richard Donnell, commented, "The number of buyers and sellers agreeing home sales continues to increase year-on-year, demonstrating a continued desire of more households to move home in 2025." Hoping to move by the end of year? Whether you're upsizing, downsizing, or getting on the property ladder for the first time, we're here to help with all your mortgage needs.

Your home may be repossessed if you do not keep up repayments on your mortgage.

This is the fifth cut since August 2024. However, the decision wasn't straightforward as the Monetary Policy Committee required two rounds of votes to reach a majority. Since the rate cut, data shows that UK inflation was 3.8% in July, which is higher than expected and nearly double the BoE's 2% target. The Bank believes this rise is temporary, caused by food, energy and other price increases, so expects inflation to fall back in the coming months. House price growth picked up slightly in July with annual growth of 2.4%, up from 2.1% in June. There was a month-on-month rise of 0.6%, taking the value of the average home to £272,664. Robert Gardner, Nationwide's Chief Economist, said, "Despite wider economic uncertainties in the global economy, underlying conditions for potential home buyers in the UK remain supportive. Providing the broader economic recovery is maintained, housing market activity is likely to continue to strengthen gradually in the quarters ahead."

Your home may be repossessed if you do not keep up repayments on your mortgage.

If you find it difficult to understand leasehold and freehold, you're not alone. Freehold was second on the list, accounting for 114,000 searches. Most flats are sold as a leasehold, meaning that you own the property for a fixed period, but not the land it sits on. The lease will have a fixed term, usually between 90 and 999 years. With freehold property, you own the building and the land. Most houses are freehold, although there are some that are leasehold, often through Shared Ownership schemes. Most people generally prefer freehold, but it means that you are responsible for maintaining all aspects of the land and property.

Your home may be repossessed if you do not keep up repayments on your mortgage.

In August, inflation was at 3.8% for the second month in a row, nearly double the Bank of England's target of 2%. The Monetary Policy Committee therefore voted to keep Bank Rate at 4% in September, and many experts are uncertain if another cut is likely in 2025. In response to this uncertainty, many lenders have increased their mortgage rates; the average two-year and five-year fixed mortgages are now at 4.97% and 5.02% respectively. While this is lower than the peaks of 6.86% seen in 2023, rates remain elevated compared to recent years.

Your home may be repossessed if you do not keep up repayments on your mortgage.

With fixed-rate deals from the low-interest era continuing to expire, many homeowners are now facing a sharp increase in their monthly mortgage payments. The transition from rates below 2% to current levels above 4% is having a significant impact on household budgets. Financial experts recommend reviewing your mortgage options well in advance of your current deal ending. Speaking to a mortgage adviser can help you understand the best options available and potentially lock in a rate before further increases. If you're concerned about rising costs, professional advice can help you explore your options, including extending your mortgage term, switching to interest-only payments temporarily, or finding a more competitive rate.

Your home may be repossessed if you do not keep up repayments on your mortgage.

The findings showed that one in three (30%) UK adults would not be able to afford to stay living in their home if their partner died unexpectedly. Meanwhile, 35% would need to tap into their savings to make ends meet, and 18% would have to take on extra work. The survey found that keeping up with mortgage repayments was the biggest financial worry if a partner were to pass away unexpectedly. Respondents said they would be forced to turn to their family or friends (11%) for financial support, while others said they would have to take out a loan (10%) or take in a lodger (8%). Despite these worries, 60% of respondents do not have a life insurance policy that includes mortgage protection. Concerningly, 80% said they do not have savings to fall back on in times of financial hardship. It can be difficult to think about what would happen if you or your partner died. But taking practical steps now to protect your home and family can give you valuable peace of mind.

Your home may be repossessed if you do not keep up repayments on your mortgage.

In the survey, 2,000 consumers were asked about their financial confidence if the worst happened. Only one in five (22%) respondents felt 'very confident' that their family would be financially protected if they passed away. Meanwhile, a third thought their loved ones would 'manage for a while' and a quarter (23%) were not at all sure if their family would be able to cope financially. The report showed that attitudes towards financial security varied depending on age, gender and type of workplace. Interestingly, 45 to 54-year-olds were the least confident, with a third (33%) believing that their loved ones would not be financially secure if they died. Two-thirds (67%) of men felt confident about their family's financial position, but only half (49%) of women felt the same. Moreover, women were nearly twice as likely to say that their loved ones would face serious financial challenges if they died. If you're feeling unsure about how your family would cope in the event of your death, we're here to help. By implementing protection that works for you, you can have peace of mind that your loved ones will have the support they need at a difficult time.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Life insurance is not a one-time purchase that you can forget about. As your circumstances change, so should your cover. Major life events such as getting married, having children, buying a home, or changing jobs are all triggers to review your protection. Many people take out life insurance when they first buy a home or start a family, but then fail to update it as their needs evolve. If your salary has increased significantly, your current level of cover may no longer be sufficient to maintain your family's lifestyle. Similarly, if you've paid off a significant portion of your mortgage or your children have grown up and become financially independent, you may be paying for more cover than you actually need. We recommend reviewing your life insurance at least every five years, or whenever you experience a significant life change. Our advisers can help you assess whether your current cover is still appropriate for your circumstances.

Your home may be repossessed if you do not keep up repayments on your mortgage.

According to research from LV, only 27% of the working population have a financial safety net to protect their income if they are unable to work due to illness or injury. Despite this, half of those surveyed said they would feel more financially resilient if they had appropriate income protection cover. Interestingly, the survey found that couples are the most likely to be financially vulnerable, with 45% relying on both partners' incomes to cover monthly expenses. This is more prevalent among the younger generations, as 70% of working couples aged 18-24 depend on both salaries to keep up with monthly bills. The average working adult has three people who rely on them financially. But many survey respondents had a limited savings pot. A third have under £5k in savings, nearly a quarter have less than £1k and one in ten have no savings at all. Don't leave it to chance – we can help you source the right cover for your circumstances.

Your home may be repossessed if you do not keep up repayments on your mortgage.

According to a recent survey from L&G, respondents believe that life insurance typically costs £79.50 per month. In reality, the average policy was £27.95 in 2024, meaning that people are overestimating the cost of cover by an average of 184%. The report revealed that the biggest barrier to insurance was the cost, with 27% believing that it is too expensive. But the findings suggest that many people may be basing their decisions on inaccurate assumptions. Perhaps if more UK adults knew the real cost of life insurance, they would feel confident enough to take out protection. Previous research from L&G found that many adults are waiting to reach key milestones before taking out products such as life insurance. However, with people getting married and buying houses later in life, many could be delaying having important conversations about financial security. Securing life insurance provides long-term peace of mind that your loved ones will be financially supported at a difficult time. Getting protection now could result in cheaper premiums in the long run, as it is generally more expensive to take out a policy when you're older.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Affording mortgage repayments was the biggest financial worry in the event of an unexpected death, with 27% saying this would be their primary concern. Despite this, 60% of borrowers don't have life insurance that covers their mortgage, leaving them without a safety net at a time when they may need it most. Moreover, 80% don't have any savings in case of a financial emergency. Many UK households would therefore be in a precarious financial position if they experienced an unexpected bereavement. Taking steps now to protect your home and family can provide valuable peace of mind. Our advisers can help you understand the options available and find the right level of cover for your circumstances.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Almost a quarter (23%) of manual workers believe they are likely to experience an accident at work within the next three years, higher than the national average of 19%. But this demographic is one of the least insured groups – only 4% have income protection in place and 1% have accident-only income protection. Despite the occupational hazards, 36% of manual workers have not considered how they would cope financially if they had a non-fatal accident. A quarter (24%) wouldn't know what to do in this situation – this is notably higher than the national average of 15%, therefore indicating a knowledge gap within this occupation. If you work in a manual occupation, it's particularly important to consider how you would cope financially if you were unable to work due to injury. We can help you explore income protection options that suit your circumstances.

Your home may be repossessed if you do not keep up repayments on your mortgage.

These borrowers have been paying an average interest rate of just 2.11%. However, if they revert to their lender's standard variable rate (currently averaging 7.13%) when their deal comes to an end, their monthly repayments could soar to £1,227 on average, a jump of £510 a month or another £6,000 a year. Although rates have eased from recent peaks, they remain higher than the ultra-low levels seen during the pandemic. Borrowers who secured low-cost deals in 2020 are likely to face a payment shock. We advise shopping around rather than automatically switching to your lender's standard variable rate. Locking in a new five-year fixed rate at 4.33% could save over £3,600 a year, while a two-year fix at 4.6% could save around £3,290. It's important to review your options early. Many lenders allow borrowers to secure a new deal up to six months in advance, helping to avoid last-minute panic and potentially saving thousands in the process.

Your home may be repossessed if you do not keep up repayments on your mortgage.

First-time buyers were hit hardest, with 66% encountering surprise expenses, compared to 55% of movers. The survey of over 1,000 buyers found costs such as legal fees, repairs and one-off charges often disrupted the process, with 27% naming these the most frustrating part of the home buying process. Conveyancing costs also climbed, with £1.9bn spent in 2024, up 17% on the year before. Yet despite rising conveyancing fees, unexpected costs proved most stressful for buyers. Proper preparation and professional advice can help you anticipate and budget for the true costs of buying a home, reducing the risk of unwelcome surprises during the process.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Nearly two-thirds (64%) of respondents said they would feel most comfortable taking out protection after consulting an adviser. When researching products, most people (59%) would use comparison sites, while 45% would visit the individual sites of insurance companies. Interestingly, 25 to 34-year-olds were most likely to seek advice from an adviser, with 54% saying they would do this when exploring their options. However, 14% of this age group would also consider the opinions of influencers, reflecting the increasing trend of turning to social media platforms for financial advice. This is not advisable as many financial influencers are unregulated and unreliable. Overall, the survey found that 74% of consumers feel confident about their understanding of insurance products and how to purchase them. Jamie Page at The Exeter commented on the data, "While online resources or AI-powered tools can help people get started, these findings highlight the important role that advisers play throughout the purchase journey."

Your home may be repossessed if you do not keep up repayments on your mortgage.

The shortfall is especially stark among mortgage holders, where only 36% have sufficient cover. Families fare even worse - just 30% of couples with children and only 10% of single parents have adequate protection arranged. This age group often faces the greatest financial pressure, juggling childcare costs, large mortgages and household bills, yet many lack the robust safety nets they need. While most people understand the need to cover their mortgage, fewer consider the cost of raising children if the worst happens. Not all the findings were negative. The study also showed that emergency savings improve with age. By their mid-30s, two-thirds have a financial buffer in place, rising to 70% by their late 40s. Overlooking life insurance altogether could leave you and your family in serious financial trouble. Having the right protection, to suit your budget, can make all the difference.

Your home may be repossessed if you do not keep up repayments on your mortgage.

In a survey of 2,000 UK adults, a third (32%) of women said they do not have life insurance, twice the number of men (16%). More than a fifth of female respondents did not think they could afford it, versus just 10% of men who expressed affordability concerns. This disparity may be due to a lack of education, with 29% of women saying they have never been taught about life cover compared with 18% of their male counterparts. Moreover, three in ten (29%) women aren't sure what support they might need. The report indicates that many people remain unsure about life insurance; what it is, what it can be used for, its benefits and its role in protection, estate planning and retirement. There's no need to feel ashamed about what you don't know as it's never too late to get informed. We're here to answer any questions you have. With the right cover in place, you could safeguard your family's future if the worst happened.

Your home may be repossessed if you do not keep up repayments on your mortgage.

A survey has found that 30% of young borrowers have not got any protection insurance in place. It is therefore concerning that 14% believe they would have difficulties keeping up with their mortgage payments as soon as they became unable to work due to injury or illness. Meanwhile, 57% of 18 to 34-year-olds would struggle within six months of losing income. When asked what they would do in the event of illness or injury, 29% of young homeowners said they would attempt to take on additional work, while a quarter (23%) would reduce contributions to their savings or pensions pot. Paula Higgins, CEO at HomeOwners Alliance, commented, "For young homeowners, the stakes are high: many have stretched to afford their property and their financial resilience is often still being built." No one likes to think about being affected by illness or injury, but going without essential protection could put you and your loved ones in a vulnerable position.

Your home may be repossessed if you do not keep up repayments on your mortgage.

The research surveyed more than 1,200 homeowners aged 18 to 34, including 500 with mortgages. Among those surveyed, only 15% of young homeowners said they knew a lot about income protection and just one in three had life insurance or critical illness cover. When asked how they would cope with a sudden loss of income, 14% said they would immediately struggle to meet their mortgage payments if they lost their income. A further 57% said they would face financial difficulty within six months. The report warns these are short-term solutions that could lead to greater financial strain later on. The younger generation is particularly exposed to more job uncertainty and cost-of-living pressures, making long-term planning all the more essential. Paula Higgins, CEO of HomeOwners Alliance, expressed her concerns, "We need to do more to support young people in staying financially secure, especially as they take on the long-term responsibility of a mortgage."

Your home may be repossessed if you do not keep up repayments on your mortgage.

Income protection insurers paid out a total of £204m to policyholders in 2024. Unfortunately, many people still don't understand the importance of insurance – a recent survey found that only 15% of young homeowners would consider themselves to 'know a lot' about income protection. This is concerning as 14% of 18 to 34-year-olds think they would immediately struggle to keep up with mortgage repayments if they were unable to work. Meanwhile, over half (57%) said they would face financial difficulty within six months. The survey respondents were asked how they would cope with a sudden loss of income. Three in ten (29%) said they would try to take on additional work and 23% said they would reduce their savings or pension contributions. But all these options may be at the expense of their emotional or financial wellbeing. Make sure you're fully insured in Income Protection Awareness Week. Why not review your cover with us now, we're happy to help.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Only 45% of respondents have life cover, which means over half of UK adults risk leaving their loved ones in a precarious financial position in the event of their death. Concerningly, 15% don't know if they are insured. Adults over 55 are the least likely to have cover, with 36% going uninsured. Meanwhile, 25 to 34-year-olds seem to be the most aware of the benefits of life insurance, as only 5% are not covered. Moreover, 18 to 24-year-olds are the only age group to have seen an increase in policies since 2022. The East Midlands is the area where the highest percentage of people have no life insurance (32%). On the other hand, Greater London is the most covered area, as only 12% don't have a policy. The survey highlighted that many Brits do not understand the requirements of life insurance. Nearly three in ten respondents believe you need to have life insurance in place to be accepted for a mortgage. It is not law, but life cover is highly recommended if you are a homeowner.

Your home may be repossessed if you do not keep up repayments on your mortgage.

In 2024, protection insurers paid out a record £8bn in combined group and individual claims. This means that £21.9m was paid out every day to policyholders suffering from illness, injury or bereavement. Last year, £5.32bn in protection claims was paid out across individual life insurance, income protection and critical illness policies. This is 10% higher than the total value of claims paid in 2023. The average payout increased by 10% to £18,700, up from £17,100 the previous year. Critical illness cover serves as vital protection for those with a serious illness such as cancer, a heart attack or stroke. In 2024, the total value of critical illness claims increased by 5% to £1.3bn. The average claim paid was £67,600. Over the last decade, the proportion of new individual claims paid has stayed at 97.9% or above. We can help you choose a policy that is tailored to your needs and meets your budget.

Your home may be repossessed if you do not keep up repayments on your mortgage.

There are an estimated 3.4 million dormant insurance policies in the UK, valued at £8.1bn. This works out at an average of £2,366 per policy, which is the equivalent of two months average mortgage payments. This means many could have missed out on vital financial support when they really need it. In most cases, the policies have been lost or forgotten as life changes, whether that's due to a house move, marriage or divorce. It's therefore essential to review existing policies to make sure you don't miss out on any claims you're entitled to.

Your home may be repossessed if you do not keep up repayments on your mortgage.

In the colder months, there are many reasons why you might need to make a claim on your home insurance policy. While you can't completely stop damage from happening, there are precautionary measures you can take to reduce the risk. Water pipes can freeze over, resulting in water leaks or burst pipes. Make sure to get your boiler serviced annually and cover exposed pipes so they stay insulated. It's important your house doesn't get too cold, especially if you're going away. Winter storms are becoming increasingly common due to climate change. Remember to secure your garden furniture and fences so they don't blow away. Clear your gutters, check for any loose roof tiles and trim any trees and branches. You may think that fire is less of a hazard when it's cold. But heaters, candles and Christmas lights could all pose a risk if left unattended. Ensure that any electrical items are turned off overnight and test your smoke alarm regularly.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Competition across the insurance market is rising, resulting in insurers quoting lower prices. Over the last year, quoted premiums have decreased by 7.9%, with most premiums quoted between £150 and £199. In June, 62.5% of consumers had the potential of sourcing quotes for less than £200, up from 56% the year before. Premiums have fallen for properties of all ages, but the biggest decrease was seen in homes built between 1925 and 1940, and between 1985 and 2000. Meanwhile, the North East is the region with the biggest drop (-10.5%) in quoted premiums while the South West has seen the smallest fall (-2.0%).

Your home may be repossessed if you do not keep up repayments on your mortgage.

According to the research, one in four respondents have moved since they took out their protection cover, but 32% have not reviewed their policy. Moreover, 63% have looked at their cover but did not make any changes. This could be risky as major life events such as moving home usually require a revision to your current insurance, as you will likely need a different level of cover. For example, your mortgage will probably have changed, so you need to make sure that you and your family are adequately protected. The survey found that most UK adults were prompted to take out protection after buying their first home. Interestingly, most people (26%) in this situation opted to take out critical illness cover, while 23% purchased income protection and 21% bought life insurance. We know that moving home can be stressful, but it's important to take the time to check that your existing insurance policies still meet your needs.

Your home may be repossessed if you do not keep up repayments on your mortgage.

The average cost of combined buildings and contents cover was £391 per year for policies taken out between April and June, £2 cheaper than quarter one. This is still relatively high and only slightly lower than the peak of £399 seen in Q3 2024. Premiums are high because insurers are paying out more in claims - £1.6bn was paid out in Q2, up from £1.5bn the previous quarter. Bad weather is driving this increase, with £322m paid out for damage related to storms, heavy rainfall and flooding. It's important to be cautious of auto-renewal clauses in your policy as you may get locked into another 12 months before you can check the market for a better offer. Set a reminder a few weeks before your policy is due to come to an end so you can take your time to renew and get advice. We understand that paying monthly can feel more manageable than a big annual payment. However, if you can budget effectively, it is often cheaper to pay for the year.

Your home may be repossessed if you do not keep up repayments on your mortgage.

There were 78 home insurance policies analysed from 35 providers; cover for accidental damage was only included in 28% of buildings insurance policies and 27% of content policies. However, according to research, 31% of people with insurance thought they would be covered for anything that was not their fault. But in most cases, they would need to purchase accidental damage as an add-on. This could be a beneficial decision, as accidental damage accounted for 19% of claims made in the last year. This data highlights the importance of checking the terms of your policy, so you don't get caught out.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Damage caused by pets is a common exclusion from standard home insurance policies, but the survey found that 45% of UK pet owners were not aware that their policy didn't cover their animals. This has resulted in over 48,000 claims being denied, meaning about 2% of UK pet owners have lost out because they were not aware of the terms and conditions of their insurance. It's always important to read the small print as having a claim rejected could result in having to pay higher premiums, so it's crucial to check that you're definitely covered before making a claim.

Your home may be repossessed if you do not keep up repayments on your mortgage.

It says parents spend an average of £449 a year per child on repairs, with four-year-olds causing the most chaos. However, damage caused by angry teens can also be expensive. Replacing broken electronic items averages £325 a year, while furniture, carpets and scratched floors are frequent casualties. Kids may also draw on walls, slam doors and break their own toys. Many parents now take steps to protect their homes, from washable paint to hard flooring and TV screen protectors. Consider adding accidental damage cover to your home insurance, so the most expensive damage is paid for by your insurer.

Your home may be repossessed if you do not keep up repayments on your mortgage.