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.
How Far Will The Housing Market Fall?
It seems that each day we are seeing differing views and opinions about the state of the housing market with signs that the credit crunch is receding followed by ever more gloomy forecasts for the future. Today it is the turn of the Royal Institute of Chartered Surveyors (RICS) to join the party with forecasts of a 5% fall in house prices in 2008 followed by a further 15% fall in 2009 Ã¢â‚¬...Read More
Council of Mortgage lenders reduces repossession forecast
The Council of Mortgage Lenders (CML) has this evening issued a statement suggesting that UK repossessions in 2009 could be significantly lower than originally forecast. The CML had forecast around 75,000 repossessions in the whole of 2009 although this figure has now been reduced to 65,000, still a significant increase on the 40,000 repossessions last year. It is also worth remembering that the 6...Read More
Property prices up again
House prices rose by 0.6 per cent in April, official figures from the Land Registry (LR) show.Although this monthly increase represents a slight decrease on March's figure, the new annual growth figure of 9.1 per cent is still among the highest for two years.The average price of a property in England and Wales now stands at £179,935, up from £178,423 in March.But most of this growth came from Lo...Read More
Rural property demand 'far outstrips supply'
The ratio between the number of applicants per available house in the British countryside is now reportedly 15 to one.According to the latest research the problem is the most acute in the south-east and south-west of England, with up to 29 people applying for a single property in Tunbridge Wells, Ascot and Worcester.Estate agent Knight Frank says that City bonuses and overseas buyers are contribut...Read More
Shopping Centre Landlords Are Struggling
Over the last decade there can be few investments which have given the same returns as shopping centres as well as a level of security which few could ever dream of. However, the economic turmoil in the UK is spreading to the high street, with a slump in June sales, and many shopping centre landlords are beginning to feel the heat.
As more and more retailers struggle, the amount of...