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.
Are first-time buyers deserting the UK property market?
Figures released by the National Association of Estate Agents show there has been a significant reduction in the number of first-time buyers involved in the UK property market over the last six months. Just six months ago, 43% of all registered purchases were on behalf of those looking for their first home while last month this figure fell to just 19%. The figure of 19% matches the record low reac...Read More
Is it cheaper to buy a home than to rent?
Experts now believe that first-time buyers should be looking towards a property purchase rather than renting their home due to the fact that house prices have fallen so far over the last two years. While there are obvious implications with regards to a purchase and rental of a home these need to be taken into account and balanced against the long-term future and long-term investment potential. Is...Read More
Are buyers returning to the UK property market?
The Royal Institute of Chartered Surveyors (RICS) has confirmed that property market queries have increased for the third month in a row with a 16% rise in January. While these property related enquiries have yet to translate through to actual sales, which are still near a three-month low, there is hope that it is only a matter of time. As prices continue to fall in many areas, UK property investo...Read More
Lloyds faces a £200 million hit after property company collapse
Lloyds bank today stands on the verge of a potential £200 million hit after the collapse of Thornfield Ventures. This is an operation which was backed by Lloyds bank's HBOS division to the tune of around £500 million. The main parent company and three subsidiaries are now in administration with a potentially enormous loss on the cards for Lloyds bank. Even though there has been some recovery...Read More
Homeowners encouraged to make security improvements
Homeowners have been advised to improve security measures to protect their homes from burglars.Virgin Money has suggested that consumers invest in an intruder alarm and ensure they lock all doors and windows when leaving their property unattended.As well as choosing an adequate home insurance policy, the company advised homeowners to install a safe and avoid leaving valuable items on view.The advi...Read More