A report by the Halifax has highlighted the fact that more and more people are living alone with an increase in sales of terraced houses and flats in the UK. The report has also highlighted the fact that just 19% of those acquiring properties in the UK are looking for a home which does not need any alterations whatsoever. It seems that more and more people are now willing and able to carry out their own alterations in pursuit of the "dream home" they have always hoped of.
The question of house prices in the UK is one on the lips of many people amid concerns for the UK economy and the UK property sector in the short to medium term. There is no doubt that the latest surveys of the UK property sector seem to indicate trouble ahead but there is also no doubt that an increase in concern amongst UK consumers could effectively end up in a self fulfilling prophecy whereby the sector does suffer in the short to medium term.
The Nationwide property survey has today revealed that UK property prices fell by 0.9% between July and August which appears to show the rate of decline is speeding up from 0.5% in July. While the year on year increase in UK property prices still stands at 3.9% this is down sharply from the 6.6% in July and the even greater 8.7% in June. All in all, there is no doubt that the UK property sector is at the very best starting to cool and at the worst on the verge of a downward spiral.
It would appear that hopes of a short to medium-term recovery in the Northern Ireland property market may well be dashed with news that property prices fell by 2.5% in the second quarter of 2010 compared to the first quarter. While the year on year increase compared to the same period last year was still a positive 2.4% it is the ongoing slow down which is causing major concern.
As we have covered in a number of articles of late, there is still a crisis in the UK property sector with the number of homes being built on an annual basis still not covering the increase in the UK population and the number of households. As a consequence, many people are now suggesting that local authorities need to incentivise local residents and those involved in the "property approval chain" by take a leading role and highlight the positives for increased property development in the UK.
The National Housing Federation has today issued a report which suggests that those who acquired their properties at the height of the property boom in 2007 will experience negative equity until 2014. Those who bought their properties at the peak of the property boom would have paid around an average price of £216,800 and with property prices unlikely to rise this year it could be 2014/15 before they are able to recoup their initial outlay.
Despite the fact that UK property market has been a volatile over the last three years, and indeed according to many is on the verge of a further downward spiral, the truth is that in the longer term the UK property market is likely to remain buoyant and in demand. When you take into account the ever-growing population of the UK and the reluctance of many local authorities to build further council houses it seems almost inevitable that demand for existing houses and new properties will grow.
Despite the fact that the UK property market is in the eyes of some people looking better value than it has for some time, you must always be aware of overstretching your finances when acquiring that dream property. Many people automatically assume that the risk reward ratio in the UK property market is now very much in favour of buyers because of the drop in prices over the last few years. However, that may not be the case for everybody!
Despite the fact that the average UK property fell by 0.3% in July, figures obtained by the property industry show that the average price of a home in the Northwest of England fell by 0.5% over the same period. There has been a marked increase in the number of properties for sale which are up by 4.4% in Greater Manchester and 5.2% in the more affluent area of Cheshire.
First-time buyers in the UK property market are struggling as banks demand larger and larger deposits despite the fact we saw an increase in competition in the sector just a few weeks ago. The average deposit required to obtain a mortgage is now 25% which does not compare favourably to the average figure of 10% prior to the credit crunch and economic downturn.
