Buy to let market running out of steam
The CML has today revealed that the UK buy to let market has rebounded strongly from post-credit crunch levels although it would appear to be running out of steam. The number of buy-to-let mortgages agreed increased by 13% in the second quarter of 2010 with around 25,000 confirmed. While these figures are welcomed by investors in the buy to let market they are just around 25% of the business levels seen prior to the credit crunch and the worldwide economic downturn.
There is no doubt that the buy to let market is "over the worst", at least in the short-term, but with many experts predicting difficult times for the UK economy and a difficult period for the property market it will do well to maintain current growth levels. Indeed even the CML believes that there are signs that the sector is easing back although how far it will fall remains to be seen. It is also worth noting that a large number of buy to let investors of years gone by have now left the market, many having been forced to sell on their properties at knockdown prices. The buy to let sector enjoyed something of an Indian summer for much of the first decade of the 2000s although whether these "good times" will return again remains to be seen.
Buy to let 'dying', expert says
The buy to let sector is dying as house prices fall, Firstrung has suggested.According to the first-time buyer specialists, investors are falling in to negative equity due to the decline of the UK property market.This point of view is supported by recent figures from the Royal Institution of Chartered Surveyors, which revealed that just two per cent of the private landlords were planning to sell u...Read More
Will the UK government's plan to buy empty homes work?
In a scheme which is set to cost the taxpayer around £400 million it has been announced that the UK government will offer interest-free loans to first-time buyers to cover deposits of up to 30% on new properties. This is the government's attempt to reduce the number of empty new homes across the UK and start to oil the wheels of the property market again.
It looks as though the sch...
Dampened property market growth downplayed
Recent interest rate rises from the Bank of England are not having the dampening effect on house prices many market indicators suggest, according to the Council for Mortgage Lenders (CML).Publishing its quarterly market commentary today, the CML claims that forward-looking data shows two factors are mitigating the impact of three rate hikes in five months on Britain's property market.Following the...Read More
Hips and CGT dominate property market
Online property sector leader Rightmove has today confirmed a 22% increase in the number of properties for sale after the UK government abandoned home information packs. However, there is a growing belief that the increase in properties for sale may also have something to do with forthcoming changes in the capital gains tax regime which could see landlords taxed more heavily upon the sale of their...Read More
Billionaires default could lead to property portfolio sell-off
Simon Halabi, one of London's best-known property entrepreneurs, could be forced to sell off his property portfolio to cover a £1.15 billion debt secured against it. Listed as the 14th richest person in the UK in a recent Forbes poll this is just a further reflection of how difficult the UK economic environment has become and how quickly the property market has turned.
It is believ...