News Archive:


13/06/2017 - Live by the beach... in London! 13 Jun 2017
08/06/2017 - Election causing buyers and sellers to "wait and see" 08 Jun 2017
06/06/2017 - More lenders target small-deposit buyers, just as house prices slide 06 Jun 2017
02/06/2017 - House prices show longest sustained fall since 2009 crash 02 Jun 2017
01/06/2017 - Apps for surveyors: 2017 edition 01 Jun 2017
22/05/2017 - Conservatives plan to bring back Home Information Packs 22 May 2017
15/05/2017 - Revealed, the least affordable places in Britain to buy a property: 15 May 2017
08/05/2017 - House price growth stagnates in the UK, latest index shows 08 May 2017
06/04/2017 - Dramatic scene after house collapses in affluent street in Kingston 05 Apr 2017
28/03/2017 - Borrowers urged to fix their mortgage fast as rising inflation could soon spell the end of super low interest rates 28 Mar 2017
22/03/2017 - House prices see 1.3% monthly surge 22 Mar 2017
09/03/2017 - UK property market growth continues to rise modestly apart from in London 09 Mar 2017
24/02/2017 - House prices go potty! 24 Feb 2017
09/02/2017 - How the Government's Housing White Paper plans will affect you 09 Feb 2017
08/02/2017 - How to flood proof your home: We visit 'Resilient House' with latest defences to help protect against expensive water damage 08 Feb 2017
30/01/2017 - Homeowners taking advantage of cheap remortgage deals 30 Jan 2017
25/01/2017 - Analysis: Stamp duty is killing the housing market and harming the economy 25 Jan 2017
11/01/2017 - Mapped: Which London neighbourhoods have seen the biggest house prices rise since the crash? 11 Jan 2017
09/01/2017 - January sees largest fall in BTL products since 2009 09 Jan 2017
04/01/2017 - 'Thousands' of Starter Homes to be built in 2017 04 Jan 2017

News.

08/05/2017 - House price growth stagnates in the UK, latest index shows

House prices in the UK fell by 0.1% in April and were down 0.2% quarter on quarter to an average of £219,649, the latest index shows.

Year on year prices are still up 3.8%, unchanged on the previous month, but low interest rates and an acute shortage of properties to buy should underpin house prices in the coming month, according to the index report from major lender the Halifax.

According to Martin Ellis, Halifax housing economist, prices have stagnated over the past three months with the first quarterly decline since November 2012 and annual growth at its lowest rate since May 2013.

‘Housing demand appears to have been curbed in recent months due to the deterioration in housing affordability caused by a sustained period of rapid house price growth from 2014 to 2016. Signs of a decline in the pace of job creation, and the beginnings of a squeeze on households’ finances as a result of increasing inflation, may also be constraining the demand for homes,’ he said.

Russell Quirk, chief executive officer of eMoov, believes that the market has begun to naturally adjust after a long period of sustained inflation. ‘We’ve seen an abundance of buyer demand and a lack of sufficient stock heat the market and it would seem that it is finally beginning to level out,’ he said.

‘This slowdown may also be due to a number of other influential factors such as the uncertain political landscape and, it will be interesting to see if the market bounces back over the coming months,’ he explained.

‘That said, sellers are still seeing the price of their property increase annually and this slow in price growth will no doubt be welcomed by those on the other side of the fence, who are struggling to get on the ladder,’ he added.

Jonathan Samuels, chief executive officer of specialist property lender, Octane Capital, also believes that rising inflation is without doubt hitting demand for property, as prospective buyers start to feel the pinch.

‘There are other forces at play. The property market is experiencing an affordability hangover from the price growth of recent years, while ongoing Brexit negotiations and cross-Channel spats are also creating uncertainty,’ he pointed out.

‘Combine the rising cost of living with muted wage growth, add in political and economic uncertainty, and a period of prolonged house price stagnation is a real possibility. Yes, the lack of supply will prevent prices from falling sharply, and record low mortgage rates will continue to provide support but for now this remains very much a sideways moving market. With the general election approaching, it’s hard to see any material uplift in activity until the Autumn,’ he added.

A range of factors are contributing to the recent cooling of the market, from squeezed household incomes and rising inflation, to buyers adopting a sit and wait approach until the general election is decided, according to Ishaan Malhi, chief executive officer of online mortgage broker Trussle.

‘Homes continue to be unaffordable for so many young people, particularly in London, which may also be contributing to the price drop off. It’s no surprise that a recent report showed that there’s been a surge in 25 to 34 year olds living with their parents in the last decade,’ he said.

Source: www.propertywire.com 08/05/2017