UK house prices under pressure
A report by the industry body, the Royal Institute of Chartered Surveyors, has today cast a dark shadow on the UK property market the report showing that more members are seeing lower prices compared to those who are seeing an increase. The net balance on the survey was -8 which equates to a fall in UK property prices in the second half of 2010 in the region of 2 to 3%. This would leave house prices in the UK relatively flat for the year compared to 2009.
There is no doubt that negative press coverage over the last few weeks is beginning to impact upon the UK property market with buyers happy to stay on the sidelines and more sellers coming to the fore. If the situation continues in the short to medium term there is no doubt that prices will come under further pressure and what began as a small snowball could soon begin to grow.
Whether or not it is a case of more realistic pricing in the short to medium term or indeed a switch in the trend for improved demand for UK property remains to be seen. However, the UK economic outlook is not one which would support a recovery in the UK property market.
Is enthusiasm draining away from the property sector?
Despite recent comments from leading UK property companies it appears that while the sector has undergone something of a short-term boost, there are a number of potential banana skins on the horizon. The likes of Berkely Group and Bellway have commented upon uncertainties such as the general election, unemployment and a shortage of mortgage liquidity as potential drawbacks in the medium term. E...Read More
What will it take to kickstart the UK property market?
The UK property market is still under serious pressure this evening despite a number of false dawns over the last few weeks and months. With very little follow-through from recent hopeful signs of recovery it seems almost inevitable that the sector will move lower before finally recovering. But what will it take to kickstart the UK property market?
One of the main ingredients for a...
First-time buyers struggling
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. The Council of Mortgage Lenders also...Read More
House prices for first time buyers ‘up 5pc’
The price of a house for a first time buyer has risen 5pc since the summer, according to a report representing data collected by Halifax. This includes a rise of 2pc last month alone, with average prices rising to £125,799. This highlights the increasing struggle that first time buyers face to get on the property ladder, but at the same time the fact that the housing market is gaining in st...Read More
Council of Mortgage lenders reduces repossession forecast
The Council of Mortgage Lenders (CML) has this evening issued a statement suggesting that UK repossessions in 2009 could be significantly lower than originally forecast. The CML had forecast around 75,000 repossessions in the whole of 2009 although this figure has now been reduced to 65,000, still a significant increase on the 40,000 repossessions last year. It is also worth remembering that the 6...Read More