Why is the UK property market still so soft?
As the revelation that further discounts of up to 6.6% can be negotiated from advertised property prices hits the news wires many people are worried about the short to medium term future of UK property prices. The fact that such discounts can still be negotiated despite the assumption by many that the property market has turned the corner is something of a slap in the face to those with a more positive outlook in the short to medium term.
The truth is that many people in the UK are still chronically overextended on their finances and in desperate need of additional capital in the short term. While some people have made significant gains on earlier properties there are many people across the UK who are still struggling to make ends meet. Even though the UK government has introduced a number of rescue schemes to try and delay any potential home repossessions in the future, there are still significant concerns in the homeowners market.
As long as there are property sellers willing to negotiate further discounts they would appear to be little hope of a short-term recovery in prices. While the additional discount theory does vary enormously throughout the country there would appear to be a general willingness from current sellers to take lower prices.
Share this..
Related stories
Future retirees pessimistic about future
19/06/2015 The next generation of retirees believe they will be worse off compared to those choosing to retire this year, according to research from retirement firm Prudential. The next generation of retirees, people aged 45 to 55, expect their average retirement income to be £14,000 a year when they stop working. Those planning to retire this year are expecting an average income of £17,0...
Read MoreSavings rate for retirement falls amongst women
Scottish Widows has today introduced a survey into the pensions and savings market which suggests that more and more working women are failing to put aside sufficient savings for their retirement. Despite the fact that there has been a rise in the number of people putting money aside for their retirement, from 51% in 2008 to 54% this year, the split between men and women is not equal.
Read More
Smart meters will only save £26 a year on energy bills
10/09/2014 Smart meters, which are due to be installed into every home in Britain by 2020, will only save consumers 2%, or £26, on their annual bills. The Public Accounts Committee, a committee who look into parliaments spending, have advised that even though the smart meters may help consumers reduce their energy consumption, they will only save 2% on their bills annually. Installing the m...
Read MoreUK recession was deeper than initially thought
While figures from the Office for National Statistics have today confirmed that the UK economy is well and truly out of recession, at least for the time being, we also saw revisions of earlier data. The result is that since the recession began in April 2008, gross domestic product in the UK plunged by 6.2% at its lowest point against initial estimates of a 6% reduction. This further reflects the m...
Read MoreBank Of England suggests recession will be worst for decades
Sir John Gieve has been speaking in Manchester during the last few days regarding the UK economy and the immediate outlook for the country. He has given the strongest indication yet that UK interest rates will fall yet further amid speculation that 0% could well be attained in the short to medium term. On a more negative note Sir John is suggesting that as well as this recession becoming one of th...
Read More