Tag Archives: europe
Asking prices and sales activity grows across the UK
Property markets across the UK have seen activity soar with asking prices and sales moving upward, according to the latest national index. Asking prices rose in all parts of the UK with the mix-adjusted average asking?price for England and Wales up 0.9% month on month and by 1% in Scotland. But the average annual home price rise for England and Wales dipped slightly to 7.0%. The West Midlands shows the largest monthly rise of 1.5% as demand outweighed supply in the region and supply continues to contract overall with a decrease of 4% year on year, according to the Home.co.uk index. Homes are also selling faster. The typical time on market fell to 102 days across England and Wales, some 17 days less than in March 2015. The East of England, London and the South East show huge drops in marketing times as buyers snapped up properties at pre-crisis rapidity. The number of properties entering the market is down 4% compared to a year ago, the index also shows. The hardest hit region was the West Midlands where 12% less new stock arrived on estate agents' books during the last month compared to February 2015. The South West of England is also indicating shortages in supply with 8% less stock registered on agent portfolios last month. Prices also rose in the North and Wales over the last month but in both these regions marketing times continue to be the longest in the UK. ‘As a result, we expect only small seasonal rises in these regions over the coming months. Supply remains relatively buoyant and, consequently, prices show little if any significant upward progress,’ said Doug Shephard director at Home.co.uk. By contrast, he explained that fierce competition between buyers has driven the typical time on the market in the South East and East of England down to 47 and 49 days respectively. ‘The last time we witnessed such short marketing times was back in the pre-crisis summer of 2007,’ he added. ‘The changes in stamp duty for buy to let investors has meant that the property market has had the equivalent of an adrenaline burst to kick start what was already going to be an excellent year for house prices. Following this aberrant phase we may find that prices pause for breath, but the underlying fundamentals of cheap borrowing and tight supply will remain overall,’ he concluded. Continue reading
Negative equity rate falls to 13.1% in the US in fourth quarter of 2015
Fewer home owners in the United States were underwater as the negative equity rate fell to 13.1% in the fourth quarter of 2015, according to the latest data to be published. But more than 820,000 underwater home owners still owe over twice as much on their mortgages as their homes are worth, a reminder that some owners may not see positive equity in their homes in the foreseeable future. The data from the Zillow Negative Equity Report also shows that six million home owners were still in negative equity, which means they owe the bank more than their homes are worth. A year ago eight million home owners were upside down on their mortgages. The report explains that over time, negative equity can act as an anchor on a housing market, preventing underwater homeowners from listing their homes and re-entering the market. It is more prevalent in less expensive areas that are affordable to first time buyers. Without these homes available, many potential buyers are side lined and unable to take advantage of mortgage rates that remain near historic lows. It also points out that in the past year, millions of underwater home owners resurfaced as the total amount of negative equity declined by $75 billion, but some owners are so far underwater that positive equity may be several years away, leaving them stuck in their homes unable to sell. ‘Even though the number of underwater homeowners has fallen significantly since the peak of the housing crisis, negative equity persists in many markets as it fell at its slowest pace in a year,’ said Zillow chief economist Svenja Gudell. ‘Things are moving in the right direction, but some owners are still deeply underwater. As we move into the home shopping season, inventory is already low, and negative equity is keeping potential additional stock from becoming available,’ she added. Las Vegas still had the highest rate of negative equity at 20.9% followed closely by Chicago, where 20.5% of home owners were upside down on their mortgages. At the other end of the spectrum, in San Jose only 2.8% of mortgaged home owners were underwater. Continue reading
A beach view is voted top in UK poll
It is always said that location is important in the UK housing market and it seems that views are too and the most desirable is a beach, new research is found. But while 71% who took part in a new poll named a beach as the best possible view from their home, not all is lost for urban areas as 24% want to see bustling city life. Beach views came out top in the poll by curtains and blinds firm Hillarys, followed by coastal landscapes with 65% of the votes and small, picturesque village life with 54%. But one in 10 identified industrial city life as among their favourite views. Initially, respondents were asked to identify the views they would most like to have from their house and provided with a list of suggestions. In fourth place was farmland with animals, polling 46% if the vote, idyllic rural countryside with 39%, suburban community life with 36%, bustling city life 24%, landscaped gardens 23%, historic or heritage sites 22% and woodland 21%. In addition some 15% stated that they would like to have a view of ‘other houses’ from their home, while 9% felt that a view of ‘industrial city life’ would be ideal. When asked if they currently had their ideal views at home, just 19% stated that they did. The average respondent stated that they would pay an extra 20% for a house if it had access to their ideal view. ‘We have some incredible landscapes here in the UK. There is so much breath taking scenery, it’s easy to take it for granted and forget how lucky we are. The lush green countryside and quaint villages might be traditional, but it seems we have our hearts set on sandy white beachfront houses,’ said the firm’s spokesperson Helen Turnbull. ‘Although we may not be able to uproot our lives and relocate in to the scenery that our hearts desire, perhaps a jaunt to a well situated holiday home to soak up the atmosphere could be worth considering or try creating a nautical environment at home to give us that seaside feeling,’ she added. Continue reading
