Buying and Selling Property
In recent months the housing market in the UK has seen a substantial decline in price. In fact, in January 2009 the value of properties fell by a further 1.3% this taking the total decline to 16.6%.
Whilst searching online it is not hard to find information regarding the current economic climate. It has been reported that the housing market in the UK could fall further still and any improvements are still some time away.
In fact, the Royal Institution of Chartered Surveyors (RICS) in the UK are predicting that in 2009 we will see a further 10% decrease in the number of homes being sold. They are currently reporting that less than one home is being sold each week, which is the worst condition the housing market has faced in the last 30 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.
Due to the current economic climate, house repossession is presently at an all time high. People are struggling to meet their repayments and finding themselves in very difficult situations. It has been predicted that a further 34,000 homes will be repossessed, within the UK, this year.
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) Mortgage companies are far less willing to provide finance to those people who want to purchase a home. This is because many people are unsure whether they will have a job or not and whether repayments for these mortgages can be met.
(2) First time buyers are finding it virtually impossible to get on the property ladder because lenders need a higher down payment.
(3) Many people expect house prices to fall further making them hold off buying now.
(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.
The property industry is not at its healthiest at the moment, many construction workers are becoming out of work and many estate agents are closing by the day. As stated above, it is a very difficult time for this industry. - 23208
Whilst searching online it is not hard to find information regarding the current economic climate. It has been reported that the housing market in the UK could fall further still and any improvements are still some time away.
In fact, the Royal Institution of Chartered Surveyors (RICS) in the UK are predicting that in 2009 we will see a further 10% decrease in the number of homes being sold. They are currently reporting that less than one home is being sold each week, which is the worst condition the housing market has faced in the last 30 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.
Due to the current economic climate, house repossession is presently at an all time high. People are struggling to meet their repayments and finding themselves in very difficult situations. It has been predicted that a further 34,000 homes will be repossessed, within the UK, this year.
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) Mortgage companies are far less willing to provide finance to those people who want to purchase a home. This is because many people are unsure whether they will have a job or not and whether repayments for these mortgages can be met.
(2) First time buyers are finding it virtually impossible to get on the property ladder because lenders need a higher down payment.
(3) Many people expect house prices to fall further making them hold off buying now.
(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.
The property industry is not at its healthiest at the moment, many construction workers are becoming out of work and many estate agents are closing by the day. As stated above, it is a very difficult time for this industry. - 23208
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posted by X - Men @ 4:20 AM
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