Confusing signals from the UK property market
Despite the fact that recent information released regarding the UK property sector would seem to indicate a downturn in business and property prices, the Council of Mortgage Lenders in the UK has confirmed a reduction in repossessions in the second quarter of 2010. A total of 9400 properties were repossessed in the three months to June 2010 which is down 400 from the previous quarter and down 2400 compared to same period last year.
As a consequence the Council of Mortgage Lenders has revised its forecast for repossessions for the full year to 39,000 against an initial forecast last year of 53,000. This also compares favourably to the total 47,700 properties which were repossessed during the whole of 2009. Again this would appear to indicate that fewer people are falling behind with their mortgage payments which would in itself indicate an improvement, or at least stability, in the UK economy.
However, this comes at a time when the public sector budget is being slashed, the economic revival appears to be flagging and UK property prices have started to downturn. Whether or not the new forecast of 39,000 repossessions in 2010 is revised, if the economy does falter in the second half of 2010, remains to be seen.
When will first-time buyers be allowed back onto the property ladder?
Over the last couple of weeks it would appear that UK mortgage approval numbers have been rising, and are in fact at double the number seen in November/December 2008. This would appear to give something of a shine to the UK mortgage market when in reality there is still a lack of realistic deals available first-time buyers and indeed unless deals do appear many may well miss out again. In what...Read More
More Brits buying abroad
More than a quarter of a million Brits currently own a property abroad, and one-third of the population would like to buy a home overseas, new research by Natwest claims. A third of both current and potential overseas homeowners told Natwest that they thought that owning a holiday home would make holidays more affordable, while a quarter felt it would take a lot of the stress out of arranging a br...Read More
Nationwide reports further house price fall
The Nationwide has revealed that house prices in the UK fell by 1.7 percent in September alone which brings the annual fall to 12.4 percent. This latest monthly fall is the largest on record and signals the start of another serious downward spiral for the industry. Finance is scarce, buyers are even scarcer and sellers are coming out in their droves looking to sell at almost any price!
Crunch hitting first time buyers
First time buyers are finding it increasingly hard to get on the housing ladder, one of the UK's largest homebuilders has warned. Latterly, the credit crunch has forced banks to tighten their lending criteria, meaning that it is currently much harder to secure home loans than before. First time buyers are the group most likely to suffer, with lenders now typically asking for deposits of 25 per cen...Read More
Will property buyers talk themselves into a downturn?
Today's revelation that we saw the first month on month reduction in UK house prices for 10 months has spooked many investors in the market and heightened concerns about the strength of the underlying property market and the UK economy. While it is dangerous to take any one figure in isolation there is the potential for property buyers to hold back on their buying interest in the short term and se...Read More