The past month has seen GBP remain in pole position as the G10’s best performing currency, as the Bank of England acknowledged that they may have to raise rates in the UK sooner than they had originally thought.
The euro has remained strong despite the ECB deciding to surprise the market by cutting rates, and in the US, with the market still working through the data backlog since the government shutdown and debt ceiling battle, the dollar has been difficult to move from its current range.
Sterling’s strength is good news for Brits moving abroad, as their pound now goes further, and could be the difference between achieving or just missing out on the home of their dreams. In the last month, GBP / EUR has been as low as 1.167 but has recently been hovering close to 1.20. When exchanging £300,000, that’s a difference of €10,000.
£300,000 currently buys the following amount of Euros
All our rates are updated every 5 minutes to ensure we provide accurate comparisons.
It’s a similar story for GBP / USD, which – at around 1.64 - is at its highest point not only in the month, but since the early part of the year. A month ago, it was around 1.60, and just three months ago, slumped at 1.56. When transferring £300,000, you’d get $24,000 more now than at the start of September.
£300,000 currently buys the following amount of USD
All our rates are updated every 5 minutes to ensure we provide accurate comparisons.
However, house prices in Europe recently rose for the first time since 2010, according to figures from Knight Frank. We’ve become used to falling house prices in the continent, but property prices in Europe have risen by 0.7 percent over the past 12 months. Turkey leads the way with a 12.2% price increase, while Greece has had the worst performance, down 11.5%. In the US, house prices are up year-on-year for the 20th consecutive month.
If you’re looking to buy abroad, the sort of property you can afford depends on the strength of the housing market in the country in which you’re looking to buy, and what exchange rates you can achieve.
Our partners World First can help you get the best exchange rates, as well as offering excellent service and the fastest available international payments. Plus, you’ll get access to the kinds of services and products that banks usually reserve for their large corporate customers, with all sorts of ways to protect you against fluctuating rates.
For example, a forward contract enables you to fix the exchange rate for a date in the future, so you’ll know exactly what the transaction will cost you on the day of completion, helping you budget more easily.
Written by James Thorp at World First
