Is the UK turning into a rental economy?
Despite the fact that the first choice for many in the UK property market is to buy a property for the future, there are now signs that more and more people are looking to rent in the short to medium term. The Chartered Institute of Housing has today issued a report suggesting that those on incomes between £12,000 and £25,000 are stuck in between being eligible for social housing and been able to afford their own property.
In what has the potential to become a self-fulfilling prophecy, the fewer people who can afford to acquire their own property the more pressure this will place on the rental market and the more properties will come under the "buy to let" banner. This is despite the fact that many buy-to-let participants have fallen by the wayside after the credit crunch and the worldwide recession. However, there is also the UK phenomenon of a housing shortage which has been ongoing for decades and many people believe is one of the reasons why UK property is so expensive.
Despite the fact that the UK government recently announced a number of incentives for local authorities to build affordable housing this will take some time to kick in and more and more people will be forced to look at renting property before acquiring their own property in years to come.
Can we trust the property price indicators?
There is no doubt that the beginning of 2010 has seen some volatility in the UK property market with prices falling in February only to return to the growth path in March. Such is the volatility of these indicators that many experts are now discounting their strength and their usefulness in the current environment. More and more people believe that a shortage of properties for sale in the UK is...Read More
Council tenants and their right to buy
Even in the midst of the current economic downturn which has seen property prices plummet across the UK there are still many council tenants able to acquire their properties at a significant discount to the current market price. While a number of tenants may not be in a position to acquire their homes at this point in time it is worthwhile checking out what rights you have and when they may expire...Read More
Property company Minerva in trouble
It has been revealed that UK property company Minerva has fallen into "negative equity" in a reflection of what is still a very difficult UK property market. The current share price is just over 30p although the net asset value of the company has fallen from a positive 187.7p last year to a rarely seen liability of 28.8p per share as at 30 June. So what does the future hold for Minerva?
German finance funding UK commercial property recovery
It has been revealed that the UK commercial property sector recovery is predominantly being financed by German banks who are now offering up to 60% of the required capital for the sector. The number of German banks looking to arrange large long-term loans to the UK commercial property sector has increased from 18 to 21 during the past six months and indeed it seems that the German financial compan...Read More
Property prices show first fall since April 2009
Property prices in the UK fell during the month of May for the first time since April 2009 giving investors and homeowners an unwelcome reminder that we are not yet out of the woods. While the 0.2% fall covers England and Wales there were specific areas of the UK which experienced falls of 3.6% during May. The average price of a property in England and Wales fell from £165,596 to £165,314, a fig...Read More