Is the UK turning into a rental economy?
Despite the fact that the first choice for many in the UK property market is to buy a property for the future, there are now signs that more and more people are looking to rent in the short to medium term. The Chartered Institute of Housing has today issued a report suggesting that those on incomes between £12,000 and £25,000 are stuck in between being eligible for social housing and been able to afford their own property.
In what has the potential to become a self-fulfilling prophecy, the fewer people who can afford to acquire their own property the more pressure this will place on the rental market and the more properties will come under the "buy to let" banner. This is despite the fact that many buy-to-let participants have fallen by the wayside after the credit crunch and the worldwide recession. However, there is also the UK phenomenon of a housing shortage which has been ongoing for decades and many people believe is one of the reasons why UK property is so expensive.
Despite the fact that the UK government recently announced a number of incentives for local authorities to build affordable housing this will take some time to kick in and more and more people will be forced to look at renting property before acquiring their own property in years to come.
Budget 2010: When is a first-time buyer not a first-time buyer?
The UK government today announced stamp duty relief for first-time buyers acquiring properties up to a value of £250,000. However, before the ink is even dry on Alistair Darling budget report the move has come in for significant criticism due in the main to the government's definition of a first-time buyer. According to HM Revenue and Customs (HMRC) in order to qualify for the stamp duty relie...Read More
Bank of mum and dad 'closing'
Parents are becoming less likely to hand out money to their children seeking to get on the property ladder.New research says that over the last decade, the proportion of parents paying their kids' deposits has fallen by six percentage points to 32 per cent.Scottish Widows bank, which carried out the survey of 3,511 adults under the age of 50, claims that parents are becoming more like a real bank...Read More
Would you consider buying a UK property today?
At this moment in time it seems that survey after survey after survey is suggesting an increase in UK property prices and UK property transaction numbers. However, would you, or do you know of anybody, consider a purchase of a UK property at this moment in time?
Sometimes it is difficult to understand on what these surveys are based, who exactly has been spoken to and ultimately if...
The costs of buying a property with a SIPP
It is possible to use your Self-Invested Pension Plan (SIPP) to purchase a property. However you must bear in mind that there are costs involved in buying property using your SIPP, all of which have to be paid by the SIPP itself. These include; • Surveyor's fees (including any environmental surveys) • Solicitor's fees • Searches • Stamp duty • VAT - if appli...Read More
UK house prices continue to fall
A report by Hometrack has today cast a very downbeat light on the UK property sector with news that the average price of a property in the UK fell by 0.4% in September to £157,600. While this in itself is obviously a concern for investors and homeowners it is the fact that prices are falling in every area of the UK, even London, which is more concerning! So far house prices in London and the s...Read More