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".
Taylor Wimpey given more breathing space by lenders
Taylor Wimpey, one of the U.K.'s best-known and largest housebuilders, has this evening been given until 31 March to sort out its finances and get the company back in order. Recent discussions with the company's financing partners have concluded with an agreement to review the company's balance sheet and debt structure no earlier than 31 March 2009. Like so many in the industry Taylor Wimpey has s...Read More
Property buyers holding off until election
In a sign of the times estate agents have warned economists and analysts that homebuyers appear to be holding off in the run-up to the general election. This warning from the property sector would seem to confirm recent surveys which show that house prices appear to have stagnated after a drop in activity within the sector. In reality this particular type of strategy by property buyers is under...Read More
Buyers move into pole position in housing market
At the start of 2010 there were high hopes for the UK property market with signs that the market was stabilising and looking to move ahead in the short to medium term. However, problems in the European economy, liquidity issues and concerns about the UK economy, in particular ahead of the budget, have had a massive impact upon sentiment. It now looks as though buyers are in the ascendancy although...Read More
Living in a sellers' paradise
In the tug-of-war over where to place the cost of moving, Woolwich has shown that sellers are currently winning out over buyersSavvy sellers have wised up to the fact that estate agents are desperate for quality housing stock and have been negotiating fees to that effect.Where the cost of moving was £5,181 last year, sellers have managed to knock about ten per cent off the pricetag and can now re...Read More
Do Recent Mortgage Rate Cuts Mean The Bottom Of The Market?
News that Nationwide, Abbey, Woolwich, Cheltenham and Gloucester and Halifax - among others - have moved to reduce their mortgage rates over the last two weeks has seen some investors stand up and take note. But is this the end of the market falls or a ploy to try and inject some confidence?
As we have mentioned on numerous occasions on this website, the UK property market is going...