Tag Archives: facebook
Metro home prices in the US continued to accelerate in first quarter of 2015
Stronger demand combined with lagging inventory levels caused home prices in the US to accelerate in many metro areas during the first quarter of 2015, new data shows. And the number of areas experiencing double digit price appreciation doubled compared to last quarter of 2014, according to the latest quarterly report by the National Association of Realtors. The median existing single family home price increased in 85% of measured markets, with 148 out of 174 metropolitan statistical areas (MSAs) showing gains based on closings in the first quarter compared with the first quarter of 2014. However, 25 or 14% recorded lower median prices from a year earlier but the number of rising markets in the first quarter was mostly unchanged compared to the fourth quarter of last year, when price increases were recorded in 85% of metro areas. Then data also shows that 51 metro areas or 29% experienced double digit increases in the first quarter of the year, a sharp increase from the 24 metro areas in the fourth quarter of 2014 and above the 37 that experienced double digit increases in the first quarter of 2014. According to Lawrence Yun, NAR chief economist, after moderating to healthier levels of growth at the end of 2014, prices picked up in several metro areas during the first quarter. ‘Sales activity to start the year was notably higher than a year ago, as steady hiring and low interest rates encouraged more buyers to enter the market. However, stronger demand without increasing supply led to faster price growth in many markets,’ he explained. ‘Sales could soften slightly in some of these markets seeing sharp price appreciation unless housing supply markedly improves and tempers its unhealthy level of growth,’ he added. The national median existing single family home price in the first quarter was $205,200, up 7.4% from the first quarter of 2014 when it was $191,100. The median price during the fourth quarter of 2014 increased 5.8% from a year earlier. Total existing home sales, including single family and condo, declined 1.8% to a seasonally adjusted annual rate of 4.97 million in the first quarter from 5.06 million in the fourth quarter of 2014, but are 6.2% higher than the 4.68 million pace during the first quarter of 2014. At the end of the first quarter, there were 2.00 million existing homes available for sale, slightly above the 1.96 million homes for sale at the end of the first quarter in 2014. The average supply during the first quarter was 4.6 months, down from 4.9 months a year ago. A supply of six to seven months represents a healthy balance of supply between buyers and sellers. ‘Home owners throughout the country have enjoyed accumulating household wealth through the steady rise in home values in the past few years. However, some homeowners are hesitant to move-up and sell because they aren't confident they'll find another home to buy,’ said Yun. ‘This trend, in addition to subpar home building… Continue reading
Average rents rising across the UK as regions catch up with London growth
The average rent on a tenancy signed in the UK during the three months to April 2015 was £916, some 10% higher than a year ago, according to the latest index to be published. The data from the HomeLet rental index also shows that excluding London the rise is 7.4% taking average rents to £730 and rents are rising across the country apart from Wales. In Scotland average rents increased annually by 6.2% to £635, in Northern Ireland they were up 5.2% to £594, but in Wales they fell by 0.7% to £573. It also reveals that after a year of rents in London rising at over twice the rate of the UK average, growth rates have now converged with the annual increase in Greater London at 7.5%. On a regional basis the South West has seen the highest annual growth at 15.5% followed by East Anglia at 8.4%, taking the average in these regions to £877 and £778 respectively. Rents are up annually by 7.9% in the West Midlands, by 7.4% in the South East and by 4.3% in Yorkshire and Humber, taking average rents to £645, £916 and £598 respectively. In the North East they are up 3.9% to £526, in the North West 3.8% to £668 and in the East Midlands 3.4% to £588. The monthly figures show more variation with Yorkshire and Humber seeing a fall of 2.1%, a decline of 1.1% in the East Midlands and a fall of 0.5% in the North West. ‘For the first time we are seeing rent price growth rates in Greater London converge with those across the rest of the UK. During 2014, London rent price growth far outpaced other regions but in 2015 we are seeing the emergence of a different pattern,’ said Martin Totty, chief executive officer of Barbon Insurance Group, parent company of HomeLet. ‘What this tells us is that the private rental market is experiencing demand nationwide and that it is not simply a London phenomenon that increasing numbers of people are requiring privately rented property,’ he explained. ‘While there have been periods in recent years where London’s rent price growth has moved more in line with other parts of the UK, most notably during the period following the financial crisis, the capital has always remained significantly ahead,’ he pointed out. ‘The convergence suggests that after a lengthy period of substantial outperformance in terms of rental increases, the pace of growth in London has slowed while the rest of the UK is catching up,’ he added. Continue reading
Most home owners in UK who build an extension want a bigger kitchen
Rear and side extensions have become the most popular way for home owners in the UK to increase the size of their property, new research shows. Some 31% of those who have extended their home in the last two years opted to build on the side or behind and most wanted a bigger kitchen, according to the study from Sainsbury’s Home Insurance. Conservatories are the second most popular residential extension accounting for 29%, followed by loft extensions at 15%, garage conversions at 11% and the construction of an outbuilding such as a garden room or home office at 5%. Of those who have undertaken home extensions in the past 24 months some 25% have added between 11 and 20 square meters of additional living space to their homes, while 23% have added 21 to 30 square meters and 18% have added 31 square metres or more. Amongst builders surveyed for the research, rear extensions were the type of home extension most frequently carried out, with 92% of builders having completed one in the past 12 months. These were followed by side extensions at 72%, loft extensions at 54% and garage conversions at 41%. The findings indicate a trend towards families spending more time in larger kitchens where they cook and eat together. According to the builders’ survey bigger kitchens and kitchen diners were the most frequent reason cited for a home extension, with 84% of builders having worked on these. The second most popular intended use for the new space was for additional bedrooms, accounting for 61%, followed by new bathrooms and home offices at 53% each. ‘For those who are improving and extending their homes, it’s crucial to advise their home insurance provider. Making revisions to a property such as adding new rooms could change the value of the property significantly and failing to report alterations may see people left under-insured or with invalidated insurance policies,’ said Tom Thomson of Sainsbury’s Home Insurance. Continue reading
