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".
The hidden heartache of repossession
Despite the fact that the Council of Mortgage Lenders last week reduced its forecast of the number of homes to be repossessed in the UK, we may well be missing the point. It was revealed that 9800 homes were repossessed in the first quarter of 2010 and this figure fell to 9400 in the second quarter with an estimate that "just" 39,000 homes would be repossessed this year as opposed to initial forec...Read More
Mini property boom hits parts of the UK
Estate agents in some areas of the UK are reporting that one in 10 properties for sale are being sold at above the asking price, with substantial demand in some areas. The likes of London, Oxford and Cornwall have been singled out as particularly buoyant property markets although there is some scepticism with regards to these claims. However, could there be a reason for the sudden interest.
Will UK property ever be as popular again?
At the height of the boom time for the UK property market it seemed that nobody could lose money and conversely at the bottom of the UK property market it seems that nobody can make money. Investor sentiment is very often based upon short-term trends and many investors can become blinkered with regards to the potential long-term prospects for the UK property market. So will UK property ever be bac...Read More
Land Registry figures show house prices continue to rise
House prices in England and Wales have risen for the fifth month in a row according to data released by the Land Registry. It would appear that the average property in the UK increased in value by 0.6% during October with the average UK property now back to levels seen last November. If we look back, October and November were the most difficult months for the UK financial system, UK property marke...Read More
EU vote could slow house price growth
08/04/2016 House price growth in the UK could slow down due to the uncertainty of the EU referendum, according to the Halifax. The lender claimed that property prices in the UK have increased by 10.1% over the past 12 months, which means that the average residential property is now worth £214,811. However, the mortgage lender has suggested that this growth could be set to slow down, be...Read More