Current UK Property Market
Due to the current economic climate, in recent months, the UK housing market has been in dramatic decline. A staggering 16.6% decline has been seen, to date with a total of 1.3% of that amassed during January 2009.
There are many articles online which give you an idea about the future of the UKs economy. It seems unlikely that any improvement will be seen for some time to come, if anything the condition of the housing market looks set to decline further still.
It has been predicted, by the Royal Institution of Chartered Surveyors (RICS) that there will be a further 10% decrease in the number of houses sold, this year. The housing market is currently in the worst position seen in many, many years.
Although house prices will begin to rise again in the year 2011 a further 10% decrease is expected this year, therefore people will have to recognize that the price of their house is currently much less than it was not so many years ago.
Although the market is in this weakened state, there are many people who are still willing to buy. For those who are looking to invest in property this may be the ideal time to do so. With house prices still falling and so many people being faced with homes being repossessed, deals are certainly available.
Within the next year the finance industry expects to see an increase in houses being repossessed. This is as home owners struggle to meet mortgage repayments. They are predicting that in the current UK property market; a further 34,000 homes will be repossessed.
So what are the main reasons why we have seen such a big decrease in the value of properties in the current UK property market?
(1) There are many people out there that are worried about losing their jobs and making repayments. This is making a lot of mortgage companies wary so they end up holding back on lending.
(2) In order to obtain a mortgage, finance companies require the buyer to provide a much larger deposit. So for first time buyers, being able to get a mortgage to buy their first home has virtually become impossible.
(3) People are expecting house prices to fall further, they are unwilling to buy.
(4) Even with cuts in the banks base rates, people still find it difficult to get the mortgage they want. Over the last 2-3 years the mortgage prices have not really moved, people have just been holding off remortgaging.
Above we have looked at the reasons why the UK property market looks the way it does. As we watch the market closely, there certainly seems to be no chance of the problems easing for many homeowners in the coming months. But it is not just homeowners who are suffering with this current slump. In recent months there have been many construction workers laid off and many estate agencies closing. - 23222
There are many articles online which give you an idea about the future of the UKs economy. It seems unlikely that any improvement will be seen for some time to come, if anything the condition of the housing market looks set to decline further still.
It has been predicted, by the Royal Institution of Chartered Surveyors (RICS) that there will be a further 10% decrease in the number of houses sold, this year. The housing market is currently in the worst position seen in many, many years.
Although house prices will begin to rise again in the year 2011 a further 10% decrease is expected this year, therefore people will have to recognize that the price of their house is currently much less than it was not so many years ago.
Although the market is in this weakened state, there are many people who are still willing to buy. For those who are looking to invest in property this may be the ideal time to do so. With house prices still falling and so many people being faced with homes being repossessed, deals are certainly available.
Within the next year the finance industry expects to see an increase in houses being repossessed. This is as home owners struggle to meet mortgage repayments. They are predicting that in the current UK property market; a further 34,000 homes will be repossessed.
So what are the main reasons why we have seen such a big decrease in the value of properties in the current UK property market?
(1) There are many people out there that are worried about losing their jobs and making repayments. This is making a lot of mortgage companies wary so they end up holding back on lending.
(2) In order to obtain a mortgage, finance companies require the buyer to provide a much larger deposit. So for first time buyers, being able to get a mortgage to buy their first home has virtually become impossible.
(3) People are expecting house prices to fall further, they are unwilling to buy.
(4) Even with cuts in the banks base rates, people still find it difficult to get the mortgage they want. Over the last 2-3 years the mortgage prices have not really moved, people have just been holding off remortgaging.
Above we have looked at the reasons why the UK property market looks the way it does. As we watch the market closely, there certainly seems to be no chance of the problems easing for many homeowners in the coming months. But it is not just homeowners who are suffering with this current slump. In recent months there have been many construction workers laid off and many estate agencies closing. - 23222
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posted by X - Men @ 3:07 AM
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