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.
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Information gleaned from the influential Nationwide property survey seems to suggest that the price of a house in the UK has increased by almost £90,000 since the turn of the century! It is believed that the average property in the UK cost around £75,000 in the year 2000 and has since increased to around £162,000, even taking into account the recent downturn in property prices. This is an as...Read More
Why does the Land Registry property report differ from others?
As the Land Registry property report for May shows a further 0.2% reduction in UK property prices, against a 2.6% increase and a 1.2% increase as suggested by Halifax and Nationwide reports respectively, many people are totally confused as to what they should and should not take into account. So why does the Land Registry report always seem more negative than the likes of reports by Halifax and Na...Read More
Are UK banks controlling the UK property sector?
Amid signs that the demand for UK property is bubbling below the surface, there is growing concern that UK banks are holding back the UK property sector. Despite the fact that there are now around 66% more mortgage arrangements available than at the start of the year, these financial arrangements are not within the grasp of many first-time buyers. So what is happening in the UK mortgage market?...Read More
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
Rightmove reports impressive profits figures
Even though 2008 was something of a difficult year to say the least for the property sector it appears as though Rightmove, the online property website, is faring better than most. The company announced a 31% increase in revenue to £74 million in 2008 although the company did warn of slowing advertising revenue in the second half. Underlying profits were up 33% to £41 million and the company has...Read More