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.
Green measures 'to have important bearing on future property prices'
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Kids 'happy' for parents to release equity
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Homeowners 'forced into property sales'
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UK house prices under pressure
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Co-op releases first-time buyer research
First-time buyers plan to save an average of £20,000 before purchasing their home, the Co-operative Bank has revealed.New research, undertaken by the bank in collaboration with Places for People, also showed that the typical buyer is planning to wait two years before getting on the property ladder, the Press Association reports.The group were found to be conservative on matters of property, with...Read More