Tag Archives: asia
More than half of UK tenants would move away to buy a home
More than half of tenants in the UK would move or consider moving to a different town or city in order to buy a home, according to a new poll of private renters. The poll from the National Landlords Association (NLA) found that some 27% of tenants would relocate in order to buy a house and a further 29% would consider doing so. However, 44% of tenants said they would not move to another town or city even if it meant being able to afford to buy their own place. Tenants in London were the most open to the idea with 87% saying they would relocate or consider relocating in order to buy a home. However, tenants in the East Midlands were the least receptive to the idea with just 14% willing to relocate. The research also shows that 47% of those surveyed said they were unable to afford a deposit for a new home with 22% unable to access mortgage finance to buy. The findings come as the latest English Housing Survey shows that more private rented homes now meet the decent homes standard than ever before, with fewer overcrowded properties and a larger proportion of energy efficient properties. Home ownership is out of reach for so many people, so the idea of upping sticks and moving to a new town or city in order to buy their own home is becoming more and more appealing,’ said Richard Lambert, NLA chief executive officer. ‘I think people are looking at the costs of buying, especially in high demand areas like London and the South East, and realising what they could get for their money elsewhere. Relocating is never an easy decision to make as it will often involve leaving behind friends and family. Then there are all the other considerations, not least whether you’ll be able to find the employment to make a move possible,’ he pointed out. ‘In the meantime, the private rented sector remains a key part of the UK’s housing mix and it’s essential that tenants can rely on it. The latest findings from the government are encouraging but more must be done to improve conditions for the minority of tenants who have a bad experience of renting privately,’ he added. Continue reading
Number of first time buyers in UK up by 10% in first half of 2016
The number of first time buyers in the UK increased by an estimated 10% in the first six months of 2016 compared with the same period in 2015, according to new research. Overall there were an estimated 154,200 first time buyers in the first half of 2016 compared with 140,500 in the same period last year, the data from the Halifax first time buyer review shows, more than double the market low in the first half of 2009. For the same six month period since 2012, the number entering the housing market has exceeded 100,000. However the number of first time buyer in the first half of 2016 was nearly a fifth lower, 36,700, than at the peak of the last boom in 2006. The report also shows that the number of first time buyers has increased more rapidly than the number of home movers over the past few years as a whole. As a result first time buyers have increased as a proportion of all mortgage financed house purchasers from 38% in 2011 to an estimated 47% in 2016. However, the percentage has been stable over the past three years as the numbers of first time buyers and home movers have risen at a similar pace since 2014. The average first time buyer deposit in May 2016 was £33,960, more than double that in 2007 when it was £16,400 and the report points out that there has been a 14% rise in the deposit over the past year largely reflecting the increase in house prices over that period. The 10 least affordable Local Authority Districts (LADs) for first time buyers are all in London. The least affordable is Brent where the average first time buyer property price of £457,014 is 12.5 times gross average annual earnings in the area. East Dunbartonshire in Scotland is the most affordable LAD in the UK with an average property price of £97,089, some 2.6 times local annual average gross earnings. Copeland in the North West is the next most affordable and five of the 10 most affordable LADs for first time buyers are in Scotland. ‘There was a further increase in the number of first time buyers in the first half of the year with the total exceeding 100,000 in the first six months of each year since 2012. This rise has been broadly in line with a general improvement in market activity and is likely to have been helped by government measures including the Help to Buy scheme,’ said Chris Gowland, mortgages director at the Halifax. ‘Although numbers remain below their previous peaks and many potential first time buyers are facing escalating house prices and deposit sizes, record low mortgage rates continue to make buying seem a more attractive option than renting,’ he added. The research also shows that the average price paid by first time buyers increased by 12% over the past year from £178,399 to £199,414. Regionally, the average price paid by first time… Continue reading
Affordability for home buyers in Australia eases in second quarter of 2016
Affordability for home buyers in Australia eased back in second quarter of 2016 as price growth returned to the residential real estate market. Overall affordability fell by 3.7% and was 2.1% less than the same quarter of 2015, according to the latest report from the Housing Industry Association, the voice of Australia’s residential building industry. The capital city housing affordability index fell by 4.3% during the quarter, while the regional market index experienced a 1.9% improvement. ‘Home price growth moderated in the early part of the year and the index showed an improvement in affordability during the March 2016 quarter. However, in the June quarter dwelling price growth returned and the index reverted to the level we saw at the end of 2015,’ said Geordan Murray, HIA economist. ‘While there was a decline in the headline index tracking the national picture, there was substantial variation around the country with substantial differences between states, and also differences between capital city markets and regional markets,’ he pointed out. He explained that the geographic variation in affordability is most evident in the comparison between Melbourne and Perth. Over the last year, the median dwelling price in Perth has fallen by 4.7% while Melbourne’s has grown by 11.5%. This has seen the affordability index for Perth increase by 6.2% over the last year, while the index for Melbourne has fallen by 6.2%. ‘These differences in affordability align with the relative economic performance of these two states. The Western Australian economy is navigating the tail end of the mining boom which has seen conditions in the local labour market deteriorate and consequently the rate of population growth has fallen quite sharply,’ Murray said. ‘In contrast, Victoria has experienced a healthy level of growth in the labour force and continues to record the strongest rate of population growth in the country,’ he added. A breakdown of the figures show that during the June 2016 quarter, improvements in affordability were observed in three capital cities with the largest improvement in Perth with growth of 3.2%, Darwin up 2.9% and Hobart up 2.2%. Affordability worsened in the remaining five capital cities with the largest decline recorded in Melbourne with a decline of 7.4%, followed by Canberra down 5.7%, Sydney down 1.6%, Adelaide down 1.3% and Brisbane down 1%. Continue reading
