Tag Archives: housing
Average UK buyer wants a three bed home priced at around £200,000
The average UK home buyer has a budget of £205,221, has owned two properties in their lifetime and is most likely to buy a three bedroom semi in the suburbs, new research shows. Most buy with a spouse or partner with just 18% buying alone and of those aged 18 to 24 some 17% buy their first home with friends, according to the study by Sarah Beeny's estate agency Tepilo. Who people buy with varies from region to region, with those from Wales most likely to buy alone at 35%, followed by those in the South East at 28% and Yorkshire at 27%. Least likely to purchase solo are those from the North East where only 3%do so and London where it is 12%. Location of a property is the most important consideration for buyers with 65% naming it as the top priority followed by 56% stating the number of bedrooms is crucial and 41% the garden. Some 34% believe the layout of the property is important, 29% having a kitchen dining room and 19% want a downstairs toilet as a priority, the research also found. When considering the location of a property, buyer rate good transport links as the most important deciding factor at 56%. Being close to shops and supermarkets is key for 44% and a low crime rate for 39%. A good local pub is an important factor for 23% with 35% of 18 to 24 year olds rating it as one of the top things they look for when buying a home. Those from the East Midlands are most keen on a local with 33% of them saying a good local pub is essential when buying a property. Having family and friends nearby is vital for 36% but this rises to 65% amongst people from the North East and drops to just 22% of those from the South West and 23% in London. Three bed properties are the most popular with 45% of buyers going for this size of property while 27% seek a two bedroom home. Indeed a two bedroom property is the most popular in the North East and Scotland where 48% are after this kind of home. A further 18% opt for a four bed, with less than 5% buying studio and one bedroom properties. The age of 44 is when most buyers think they have moved to their ideal home that they will spend the rest of their lives in, although 20% don't think such a thing exists, which rises to 33% of those aged 55 and over. The research also found that 32% have bought a property as an investment, rising to 41% amongst those aged 35 to 44. Some 45% of buyers who have invested in property bought the home for their children to live in whilst at university. In addition, 24% who invested in property did so as an alternative to a traditional pension. 'We've introduced the Tepilo Buyer Barometer survey to gauge how British house buyers… Continue reading
Remortgage valuation surveys up over 100% year on year in UK
Remortgaging activity in the UK increased in August, outperforming all other areas of the housing market, according to the latest research. The number of valuations for remortgaging rose 25% compared to July and on the back of this growth, the number of remortgage valuations is now up by 102% compared to August 2014, the data from Connells Survey and Valuation shows. However, total valuation activity was more muted in August. The number of valuations across all sectors, including remortgaging, rose by 7% compared to July, up 48% compared to August 2014, driven in large part by remortgaging. According to John Bagshaw, the firm's corporate services director it is concern and media attention about an interest rate rise in the near future is the key driver of this surge. 'Due to the very low Bank of England base rate, there are currently some very appealing remortgaging deals on offer from lenders. But home owners have been influenced by a powerful perception that these deals will not last,' he said. He pointed out that underneath the short term surge, remortgaging is also driven by a longer term shift. People are increasingly looking to upgrade their home rather than trade and so, for a slightly different purpose, are also keen to take advantage of cheaper mortgage deals. Meanwhile, the wider picture looks encouragingly stable. First time buyers and home owners are far more optimistic about the housing market now than they were at this point in 2014 and this is evident from the strong, steady growth seen throughout 2015 so far. The data also shows that the number of valuations for existing owner occupiers looking to move home has grown by 3% since July. This leaves activity on behalf of home movers up by 30% compared to August 2014. A similar picture emerges for first time buyers. The number of valuations carried out in August for those looking to take a first step onto the property ladder rose 1% month on month and 31% on a twelve month basis. 'Home mover and first time buyer activity has seen sizeable and speedy growth over the last six months, so a period of more stable growth is a sign of consolidation. It shows that these sectors command long term momentum and demonstrates a more stable optimism from households about the future,' said Bagshaw. 'For those moving up the ladder, low mortgage rates are combining with property price growth as a basis for their next purchase. Meanwhile, first time buyers don’t have the benefit of this natural deposit, but are showing remarkable fortitude in the face of price rises, buoyed by a jobs market that is increasingly showing real wage growth,' he added. In the only section of the market to see a drop in August activity, valuations for buy to let purposes dipped by 5% on July. Despite this, compared to a year ago, the total number of valuations… Continue reading
REO and distressed property still an important part of the US housing market
Once a stain on the US housing market, Real Estate Owned property and short sales are now regarded as a critical market indicator and the number increased by 0.7% in August, the latest data shows. While this type of property is a reminder of the legacy of the housing downturn, real estate investors, seeking discount prices, have transformed what was once undesirable into a more popular way of investing in the market. The data from Clear Capital shows that the quarterly distressed saturation rose from 15.4% to 16.1% and the firm says that increases in distressed activity leading into winter could shift momentum towards peak distressed saturation levels of 40%. Typically, distressed saturation fluctuates with the seasons and increases in the winter season. Distressed saturation rates have exceeded that of the nation in the West and Midwest, up by 0.9% and 1.2%, respectively, while the largest gains in distressed saturation have been in the South, with a 1.5% increase from 18.6% to 20.1%. The Northeast was the only region to experience a decrease in distressed saturation, where rates dipped 0.3% from 14.3% to 14%. The report shows that for the past three years, distressed saturation in the San Juan metropolitan area has been steadily increasing, having grown 8% from 9% in 2013 to 17% today but says that this trend is unusual in the current housing environment. ~ Over the same three year period, nearly all of the major metro markets have experienced steady declines in distressed saturation. In terms of pricing, this near doubling of the saturation rate has corresponded with a rapid change in price declines from a yearly loss of 1.5% in 2013 to a yearly rate of decline of 10.2% today. The Midwest is the only region to see quarterly gains in price appreciation, nearly doubling from 0.4% to 0.7%. The region still lags behind the West, which experienced declining gains of 0.1% yet still continues to report highest quarterly growth at 1.2%. The South and Northeast appreciation rates remained stagnant, reporting 0.8% and 0.2% growth over the quarter. There are differences in regional performance. The San Jose and Detroit metropolitan areas both report healthy growth rates of 2.1%. While the South did not see accelerated price gains, continued growth through August could be a sign that this region is on firm footing moving forward. Seven of the 15 top performing markets are located in the South, while four of the lowest performing metropolitan areas are in the Northeast. Distressed saturation continues to be a challenge in today’s housing market, according to Alex Villacorta, vice president of research and analytics at Clear Capital. ‘In fact, today’s traditional housing market continues to be defined by distressed saturation levels. At the start of the downturn, distressed properties were an albatross around housing’s neck but between 2011 and 2013 investors stepped in, buying, rehabbing and selling or renting distressed properties, which gave way to higher demand and rising prices,’ he… Continue reading
