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.
House prices 'rose in April'
House prices in the UK have continued their steady increase with a rise of 0.7 per cent in April, Hometrack's national housing survey reports.Although the monthly growth is not as steep as that seen in March, when a rise of 0.8 per cent was experienced, the continuing climbing prices are likely to remain a problem for first-time-buyers.However Hometrack believes that the reduced increase in April...Read More
House-building figures highest for nearly two decades
Homes in the UK are being constructed at the fastest rate for nearly 20 years, according to newly released figures.Statistics released by the National House-building Council (NHBC), whose warranty covers 80 per cent of all new houses in the UK, showed that 185,000 new properties were finished last year - the highest figure on record since 1989.After that year's high of 191,800 house construction d...Read More
House prices 'will fall by 7%'
Almost three in four people expect house prices to fall over the next year, a study shows.The poll, conducted for the Building Societies Association (BSA) by YouGov, also found that the average predicted drop over the year stands at 7.1 per cent.Regionally, Welsh people were found to be the most pessimistic about the property sector - with a 9.1 per cent fall expected.Most positive were those in Y...Read More
Equities recommended over property
Equities are superior to property as a long-term investment, according to a new study.A report from Skandia revealed that £30,000 invested in 1983 in UK shares would be worth upwards of £545,000 today.However, a house bought at the same time 25 years ago, when the average price was £30,000, would now only be worth £174,000.This put the growth rate of shares at 1718 per cent, compared to just 4...Read More
Manchester Property Market Set For A Boost
While it may be doom and gloom in many regional property markets around the UK, the signs for various regions on the outskirts of Manchester are looking a little rosier today. The government has announced plans to increase the scope of the CityÃ¢â‚¬â„¢s tram system and extend the service to Chorlton, Rochdale and Oldham. This is on top of the Droylsden extension which has already been...Read More