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.
Stamp duty 'hitting property market'
Gordon Brown's increases in stamp duty over the last decade are contributing to the current shortage of properties on the residential housing market, a thinktank has claimed.The Centre for Economics and Business Research (Cebr) suggests that the lack of supply holding up British house prices despite interest rate rises and affordability constraints has in part been caused by the chancellor's stamp...Read More
Hammerson announces blue-chip tenant talks
In a sign that demand for property is beginning to pick up in the city of London, Hammerson, one of the U.K.'s largest corporate property companies, has announced that it is in talks regarding the possible pre-letting of two office developments in London. This is the first major sign of any significant interest in the corporate property market and against a backdrop of difficult trading in the fin...Read More
Housing market slowing down
29/07/2014 The UK housing market finally appears to be slowing down as seven of the 10 regions in England and Wales recorded a month-on-month fall in house prices, according to the Land Registry. However, despite price reductions in more than half of the regions in England and Wales, the overall average house price remained unchanged from May to June 2014. The data showed that the biggest...Read More
Are property owners in a rush to sell?
The Royal Institute of Chartered Surveyors (RICS) has today issued a report into the UK property sector which appears to show a significant increase in sellers during February. The number of people placing their homes on the market increased twice as fast as those looking to acquire property in February which will place immediate pressure on UK property prices. Over the last few months we have...Read More
London rents 'booming'
The number of people renting properties in prime central London locations is approaching record levels, a new survey has revealed.Knight Frank says that the annualised rental rate in the capital in the 12 months to June was 12.2 per cent.The estate agent claims that the proportion recorded in June was the highest since the fourth quarter of 1999.Quarterly growth in rents now stands at 4.2 per cent...Read More