Buying and Selling Property
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.
As you will soon discover when you search online, there is much being written about the economic crisis that we are all currently facing. It is thought that the housing market in the UK will drop even further and sales of properties are not likely to increase for some time yet.
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.
RICS have reported that house prices will plummet a further 10% and sales of homes will not pick up again until 2011, therefore people will have to accept that their homes are now worth less than they were a few years ago if they are going to move on.
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.
During the rest of 2009 it is expected that a further 34,000 homes will be repossessed. Housing repossession is currently at an all time high, this owing mainly to the current economic climate. People are finding it ever more difficult to keep up with their mortgage and rent repayments.
listed below are some of the main reasons why the UK property market has fallen dramatically over the last year.
(1) Mortgage companies are lending less and less, so people are finding it very difficult to find a mortgage.
(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) Although cuts in the banks base rates have helped to reduce how much peoples mortgages cost, this wont actually help to stop the prices of houses falling further. Even with these cuts, the average cost of a mortgage has not altered that much because 2 or 3 years ago people were remortgaging due to great deals being offered. What many of us do not realise is that over time the banks have been increasing their profit margins.
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. - 23199
As you will soon discover when you search online, there is much being written about the economic crisis that we are all currently facing. It is thought that the housing market in the UK will drop even further and sales of properties are not likely to increase for some time yet.
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.
RICS have reported that house prices will plummet a further 10% and sales of homes will not pick up again until 2011, therefore people will have to accept that their homes are now worth less than they were a few years ago if they are going to move on.
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.
During the rest of 2009 it is expected that a further 34,000 homes will be repossessed. Housing repossession is currently at an all time high, this owing mainly to the current economic climate. People are finding it ever more difficult to keep up with their mortgage and rent repayments.
listed below are some of the main reasons why the UK property market has fallen dramatically over the last year.
(1) Mortgage companies are lending less and less, so people are finding it very difficult to find a mortgage.
(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) Although cuts in the banks base rates have helped to reduce how much peoples mortgages cost, this wont actually help to stop the prices of houses falling further. Even with these cuts, the average cost of a mortgage has not altered that much because 2 or 3 years ago people were remortgaging due to great deals being offered. What many of us do not realise is that over time the banks have been increasing their profit margins.
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. - 23199
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posted by X - Men @ 11:37 AM
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