Property News September 2009
Property prices in the UK have now risen for five months in a row, according to the latest information. Nationwide Building society has recently stated that house prices increases by 0.9% in September. Now house prices stand at the same level they did 12 months ago. This is good news for those looking for a quick property sale but it is still worth bearing in mind they are down 13.5% from the height of the market in October 2007.
According to the Land Registry and Nationwide they don’t envisage this steady growth to continue in the short term. This is due to many factors but in our opinion lack of lending and rising unemployment are most pressing. Office for National Statistics findings showed that unemployment rose to 2.47 million in the three months to July. This is major concern for homeowners who are battling debt and are trying to stop repossession. Those facing job losses and possible repossession often look for a quick house sale to avoid repossession. Concerns about job security remain the most significant barrier to people buying property, according to new research.
The Building Societies Association's (BSA) Property Tracker survey found that 58 per cent of respondents felt job security remains the most significant barrier to people buying property. A quick house sale is becoming more difficult to achieve as first time buyers are holding back.
We believe that current mortgage conditions are contributing to a slower recovery due to continued tight mortgage lending and the need for borrowers to have substantial deposits. The Bank of England unveiled further evidence that lending conditions remain tough this week. The number of new mortgage approvals fell from 52,404 in July to 52,317 in August. Although the decrease is minimal it is the first time in 10 months that the figures have shown a decline. Increased lending would help those looking for a quick property sale as there would be more buyers available and less sales falling through. The Bank of England has also revealed that personal debt increased again in August, after falling for the first time on record in July. This adds further weight to the argument that the economic recovery is still some way off.
Repossession Levels have slightly reduced in the second quarter of 2009. This has been down to record low interest rates and lenders being more tolerant to those in financial difficulty. This is great news for those trying to avoid repossession but statistics can paint a promising picture of a dire situation, there were still 11,400 homes repossessed this spring/summer. Our concern is that that repossession levels could increase dramatically as interest rates rise. Those looking to stop repossession and achieve and a quick house sale should fill in the rapid response form on the right of this page, we may be able to help as we pay cash for houses. .
The opinions expressed in all news articles are those of Rapid Home Solutions Ltd. The material is for general information only and does not constitute investment, tax, legal or any other form of advice. You should not rely on this information to make (or refrain from making) any decisions. Always obtain independent, professional advice for your own particular situation.
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Rapid Home Solutions is a leading property buyer in UK. Their quick home/property buying service is designed to help homeowners to avoid repossession and other financial crisis. |
