Rising inflation will negatively affect those trying to get on the property ladder, an expert says.

Miles Robinson, Commercial Director and Expert at Haysto, explained: “With the latest UK inflation data showing prices soared again last month, with consumer prices reaching a 9% inflation, we are seeing the highest rate of inflation in about 40 years.

“Inflation can sometimes be a positive thing when it comes to mortgages, because inflation can reduce the value of debt. But that’s only the case if your wages keep pace with inflation.

“What we are seeing now is that wages are not rising at the same rate as wage growth, with inflation outpacing any wage increases.

“In addition to the cost of living, it is becoming increasingly difficult to obtain mortgages, and coupled with the financial difficulties, we will undoubtedly see an increase in the use of credit cards and payday loans.

“In March 2020, housing was 0.5% and is now at 2.8% and we could be far from that peak. The sharp rise in housing inflation is the result of rising gas prices and electricity, but it’s a sign of how difficult inflation will be for those hoping to enter the housing market!

“When not well managed, credit cards and loans can contribute to bad credit, which can make it incredibly difficult to get a mortgage from the big banks.

“That being said, bad credit isn’t the end of the road when it comes to trying to manage your finances. Mortgage brokers like Haysto can provide you with additional support in trying to get you a mortgage. by partnering with an expert who can help you find specialist lenders.