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.
Budget 2010: Help is at hand for the UK property sector
Today's budget saw Alistair Darling, the Chancellor the Exchequer, announce a doubling of the stamp duty threshold from £125,000-£250,000 for 2010 and 2011. This is a welcome move and is forecast to impact upon property purchases by nine out of ten first-time buyers in the UK although there is a sting in the tail for those with properties worth in excess of £1 million. While increasing the s...Read More
House Builders Move To Cut Costs
As the UK house building sector struggles with some of the worst market conditions which many of them have known, the chairman of the Home Builder Confederation Stewart Baseley has confirmed that many of the federation’s members are looking to make substantial jobs cuts in the short term. Mr Baseley has made a very interesting observation pointing out that the situation at the moment is not...Read More
Homeowners 'forced into property sales'
Many properties in the UK are on the market because their owners cannot afford to pay their mortgages, a new survey of estate agents has revealed.The National Association of Estate Agents (NAEA) carried out the study for the Times and discovered that more than half of the agents polled said that at least one in five of the homes on their books were put up for sale because of difficulties over repa...Read More
When will first-time buyers be allowed back onto the property ladder?
Over the last couple of weeks it would appear that UK mortgage approval numbers have been rising, and are in fact at double the number seen in November/December 2008. This would appear to give something of a shine to the UK mortgage market when in reality there is still a lack of realistic deals available first-time buyers and indeed unless deals do appear many may well miss out again. In what...Read More