Is there oversupply in the UK property market?
A number of property surveys in relation to the UK property market have highlighted the fact that the UK market is moving into an "oversupply" situation. When you also take into account that many buyers are now sitting on the sidelines waiting for prices to fall further, the situation could become worse before it gets better. So why have more people decided to sell their property?
There is no doubt that the hard-hitting press headlines regarding the UK economy and a potential double dip recession have upset many people. Just when the vast majority of households in the UK began to see light at the end of the tunnel the UK government stepped in with significant budget cuts and tax increases in the short-term. As a consequence, and bearing in mind that the global economy is beginning to struggle, more people are now looking to sell their property at a lower price than they may have achieved just weeks ago, with buyers now very much in the ascendancy.
Liquidity issues within the UK mortgage market are also causing concern with many first-time buyers effectively priced out of the market due to the need for a significant deposit. Until this situation changes we are likely to see further downward pressure with more and more buyers holding back or pushing for "unrealistic prices".
Property growth 'slowing'
House price growth is expected to continue slowing during the rest of 2007, Halifax has said.Its monthly house price index shows growth of just 0.4 per cent in June, the second successive rise of less than 0.5 per cent. This strengthens the dampening trend seen in the residential property market in the second quarter.Increased mortgage rates and declining real income, which the Office for National...Read More
Gerald Ronson warns of problems with UK economy
Property tycoon Gerald Ronson has today criticised the UK government for what he believes is the creation of a two-tier Britain with rising unemployment outside of London having the potential to cause social unrest. It has long been known that the London economy can be very different to the wider UK economy and recent events have highlighted this fact. So why is Gerald Ronson concerned about the f...Read More
Overseas property guide for beginners
While the UK property market, and many more around the world, is on its knees it looks as though we are starting to see some good long term value emerging from the mess of the credit crunch. But where do you invest? What type of property? What are the risks?
As with any investment, there are risks to be considered and more so in the area of direct Read More
Terraced trend increases over ten years
Property price increases have been the greatest for terraced houses as compared to all other types of property in the UK over the past decade, according to a new report by Halifax estate agents.The price of an average terraced house has risen by 239 per cent from £54,945 in 1996 to £186,316 last year. The average increase for all types of property was 205 per cent overall.Terraced houses still h...Read More
Why do we depend so much on the property market?
While we have touched on this subject in some of our earlier post it is still a subject which confuses and annoys some people. Why do we really depend upon the property market so much? Why is it such an integral part of our lives?
There are many reasons why we depend on the property market which include:-
Some where to live!
While this may seem the mos...