Is there oversupply in the UK property market?
A number of property surveys in relation to the UK property market have highlighted the fact that the UK market is moving into an "oversupply" situation. When you also take into account that many buyers are now sitting on the sidelines waiting for prices to fall further, the situation could become worse before it gets better. So why have more people decided to sell their property?
There is no doubt that the hard-hitting press headlines regarding the UK economy and a potential double dip recession have upset many people. Just when the vast majority of households in the UK began to see light at the end of the tunnel the UK government stepped in with significant budget cuts and tax increases in the short-term. As a consequence, and bearing in mind that the global economy is beginning to struggle, more people are now looking to sell their property at a lower price than they may have achieved just weeks ago, with buyers now very much in the ascendancy.
Liquidity issues within the UK mortgage market are also causing concern with many first-time buyers effectively priced out of the market due to the need for a significant deposit. Until this situation changes we are likely to see further downward pressure with more and more buyers holding back or pushing for "unrealistic prices".
Scottish government injects £45 million into low-cost homes
The Scottish government has today announced plans to inject £45 million into a program which will construct up to 800 new low-cost homes across Scotland. The money is made up of a £31 million injection from the previous budget and £14 million which has been freed up by the Scottish government from its existing housing program. So will this make a difference? There is a definitive lack of aff...Read More
Average house purchase deposit hits over £80,000
27/01/2015 The Mortgage Advice Bureau (MAB) has released figures showing that the average house purchase deposit rose to over £80,000 in December. The average purchase deposit is now at its highest figure ever recorded by MAB's National Mortgage Index, rising 15% over the course of 2015 to reach £81,721 in December. The average purchase price for a property also rose to £252,990, which i...Read More
Downsizing more popular at 'top-end of the market'
Downsizing - where homeowners move from a larger property to a smaller one for financial or practical reasons - is far more common at the top-end property market, a spokesperson from property advisors Savills has said. Lucian Cook, director of residential property at Savills, said that "a relatively high proportion of people" with property worth around £1 million downsize when they move, often b...Read More
8,300 people at risk of home repossession every week
05/06/2015 More than 8,000 people in the UK were put at risk of losing their house each week in the first three months of this year, according to housing charity Shelter. The charity looked at Ministry of Justice figures for possession claims by mortgage lenders and landlords to see how many people had been threatened with repossession. The charity also picked up on certain “home threat hot...Read More
UK property market under pressure
February figures for the housing market in the UK showed an annual increase of 9.2% but a fall of 1% in prices compared to January. This is the first fall in UK property prices since April 2009 and while it should not be taken in isolation as the turning point of the recent trend all eyes will be on the figures next month. There were a number of specific reasons why property transactions stalled i...Read More