Students force up property prices
Despite the fact that the students of today are often associated with very little income, often spendthrift and looking to save as much money as possible, it seems as though a number of university towns in the UK have benefited from the growing influx of students. Figures in the press this weekend show that students in six out of ten university towns have forced the price of property up by around 30%.
The largest recent increase in property prices was seen in Aberdeen where prices have appreciated by around 40% since 2005, a period which has seen the number of students in the city rise by 54%. This particular pattern has been replicated across many "student cities" in the UK and with more and more people now looking to rent as opposed to buying in the short-term there is potential for the situation to get worse before it gets better.
It will be interesting see how UK mortgage companies react to this new trend which is in direct comparison to the US model where many people are now moving away from the rental market and looking to purchase property. Whether this is a short-term change in the long-term UK trend remains to be seen but there are many reasons as to why it could continue for the foreseeable future.
House prices rise again in October
A survey by Hometrack has confirmed that house prices in England and Wales rose by 0.2% in October to an average of £156,400. This is the third such rise in a row and while many people are now starting to call the bottom of the property market it is worth noting that the number of people signing up with estate agents has begun to slow. While this may just be a reflection of the time of the year,...Read More
Location links to the price of your house
Official statistics on property prices have presented some areas of the UK rising in value, with others falling. London homes are rising fastest in value, up 4.9% in the past year, compared to a national average of 1.4%. Prices in the North West of England dropped 1.3% (Office for National Statistics). Northern Ireland showed the largest drop, down 8.1% over the year, Wales and Scotland also pr...Read More
Why is the UK obsessed with property?
The Liberal Democrats have made a number of observations about the UK economy which have struck a cord with many observers. They are the first party to question the UK's obsession with property which literally rules the UK economy. Unlike many countries around the world, the vast majority of UK citizens own their homes when many countries have a culture of renting. This obsession with owning pr...Read More
Moscow 'more expensive than London'
Moscow has pipped London to be named as the world's most expensive city for expatriate workers.The annual cost of living survey from Mercer Human Resource Consulting ranks the Russian capital at number one for the second year running.A statement from the firm explained that the high cost of accommodation and the favourable exchange rate against the US dollar had helped Moscow retain its top rankin...Read More
HBOS Sell Stake In Rightmove
HBOS has offloaded its 13% stake in property business Rightmove, banking in excess of £50 million along the way. The stake was acquired for less that £8 million just eight years ago and represents a very useful profit for the under pressure banking group. As you might expect, the sale has sent shockwaves through the city with many taking this as a sign that the property boom is well and truly...Read More