Are we in danger of talking down the UK property sector?
Despite the fact that the UK property sector has probably performed better than 99% of analysts had expected in 2009, the recent press has been full of stories about price falls in 2010 and a drop in demand. There is the potential to actually talk ourselves into a property decline in the short term which could prove catastrophic in the short to medium term.
Even though it is obvious from the figures made available that various property hotspots around the UK have been supporting the vast majority of the price rises we have seen over the last few months, demand is starting to seep back into the market. We need to see UK banks and UK mortgage providers in particular step up to the mark with competitive offers which will also allow first-time buyers back into the market. First-time buyers are the lifeblood of the UK property market and without them it is difficult to see how a sustained recovery could emerge.
While there are still obvious concerns about the rate of unemployment in the UK, we need to take a more positive outlook in the short to medium term and at least try not to talk ourselves into a further recessionary slump for the UK economy and the UK property market in particular.
Share this..
Related stories
Property investment hit by rate hikes
Three interest rate rises in five months have shaken confidence in property investment, according to insurance provider Standard Life.Its latest savings and investment index shows that investors' enthusiasm in property for both buy-to-let and long-term savings purposes has been dampened by the Bank of England's recent rate hikes.The Bank's monetary policy committee voted to raise rates in August a...
Read MoreCouncil of Mortgage lenders reduces repossession forecast
The Council of Mortgage Lenders (CML) has this evening issued a statement suggesting that UK repossessions in 2009 could be significantly lower than originally forecast. The CML had forecast around 75,000 repossessions in the whole of 2009 although this figure has now been reduced to 65,000, still a significant increase on the 40,000 repossessions last year. It is also worth remembering that the 6...
Read MoreEstate agents complaints on the rise
More than 8,000 complaints from customers regarding their estate agent were recorded in 2006, the Ombudsman for Estate Agents (OEA) reports. The complaints, caused largely by administration problems with sale and purchase details along with customer's general distrust of estate agents, saw a year-on-year rise of more than a third â€" 2005 saw a total of 6,021 complaints registered with th...
Read MoreEstate agents expect end of house price falls within a year
The majority of estate agents remain optimistic that house price falls will halt within a year.Of survey of 100 estate agents by Abbey found that 30 per cent believe house prices to stop falling in six months time. Meanwhile, a further 31 per cent said that house price deflation will stop within 12 months. Phil Cliff, director of Abbey Mortgages, said: "Estate agents and homeowners believe that, d...
Read MoreHousing affordability at "critical" point
The availability of affordable housing has reached a "critical" point, with the next generation of home buyers likely to need ten times their average salary to purchase a house unless action is taken, new research has warned.Growing demand for housing is increasingly pricing first-time buyers out of the market, a report from the newly-established National Housing and Planning Advice Unit (NHPAU) s...
Read More