Skip to main content

How significant are the latest mortgage rate rises?

The increases in mortgage interest rates highlighted by the press this week are fairly small, are coming off a very low base and will affect a limited number of borrowers. But they should not be dismissed lightly, not least because banks may not be done raising mortgage rates just yet. And experience suggests that it doesn’t take a dramatic increase in the number of borrowers having trouble making their payments to have a significant effect on forced sales and house prices.

Become a client to read more

This is premium content that requires an active Capital Economics subscription to view.

Already have an account?

You may already have access to this premium content as part of a paid subscription.

Sign in to read the content in full or get details of how you can access it

Register for free

Sign up for a free account to:

  • Unlock additional content
  • Register for Capital Economics events
  • Receive email updates and economist-curated newsletters
  • Request a free trial of our services


Get access