Tag Archives: real estate
House prices fell in most regions in France in 2014
House prices in regional France continued to fall in 2014, but there are considerable variations, according to figures from estate agents. The annual review from the FNAIM, the national association of French estate agents, says that house prices fell by an average of 1.5% in 2014, but with significant variations across the country. Picardy led the way with price rises of 3.5%, Lower Normandy saw prices rise by 1.2%, Poitou-Charentes by 1%, Languedoc-Roussillon by 0.9%, Auvergne by 0.8% and Brittany by 0.4%. Elsewhere prices fell, most notably by 5.3% in Nord pas de Calais, by 5.1% in Limousin, by 4.9% in Upper Normandy, by 4.8% in Franche Comte, and by 4.3% in Champagne Ardennes. Although overall the FNAIM report says that activity levels remained broadly the same as that for 2013 at around 720,000 sales, volumes were only maintained due to continued strong activity in the main cities and tourist areas of the country. In many smaller towns and rural areas sales were substantially down. The differences have also deepened between the best and worst properties, with buyers taking their time to find the right property. Properties with substantial defects or other unfavourable characteristics remained unsold. In addition, in the more expensive areas of the country it was smaller properties that sold over larger homes, one reason, it seems, why activity levels were maintained. While the FNAIM data is taken as the most reliable, other national agents have also published annual figures which all show prices falling on a national basis but which differ somewhat on a regional level. Century 21’s annual review put the average fall in property prices at 2.8%. The data shows only one region with rising prices, Limousin with growth of 3.7%. Everywhere else show falling prices, most notably a decline of 7.4% in Languedoc Roussillon, a fall of 7% in Lorraine and 6.7% in Poitou Charentes. According to the Laforet group of estate agents there was a fall of 3% in regional prices outside of Paris with prices down across the board led by a fall of 5.7% in Limousin, 5.4% in Picardy, 5% in Poitou Charentes and 4% in Midi Pyrenees. Such is the lack of alignment in the regional figures between the agents, the only conclusion that can be drawn is that the trend continues downwards. The notaires have yet to publish their analysis of 2014, but for the third quarter the average annualised national price fall was still under 1%. The FNAIM believes that prices will continue to fall this year. It is predicting average falls of between 2% to 3% in 2015 and this in similar to other predictions from individual chains of estate agents. It means that prices are on average at the same levels they were in 2007. But 2015 could see more overseas buyers coming back to the French market, especially as average interest rates are now around 2.5% with some firms predicting they could fall further to 2%, making it cheaper for… Continue reading
Home movers in the UK increased in 2014 but well below recent highs
Last year there was an 8% rise in the number of home movers, the highest annual total since 2007 but still little more than half the average between 2004 and 2007, new data shows. The research from Lloyds Bank also shows that the average deposit put down by a home mover in 2014 was £83,302 and stamp duty changes saved the average home owner nearly £5,000. The data also shows that the number of home movers in 2014 was 16% higher than in 2009 at the depth of the recent housing market recession. However, despite the pick-up in recent years, the number of home movers last year was still less than half the all-time high recorded in 2004 of 886,700 and just over half the average during between 2004 and 2007. First time buyer numbers have risen significantly quicker than home movers over the last few years. As a result, home movers have declined as a proportion of all new mortgage financed home purchasers from 71% in 2004 to 54% in 2014. Since 2009, the average price paid by a home mover has grown by 26% from £199,645 to £252,064 in 2014, an increase of £52,418, equivalent to a monthly rise of £874. Home mover property prices increased by 9% in 2014. The average deposit put down by a home mover in 2014 was £83,302, some 9% higher than in 2013 when it was £76,739. This equates to 33% of the average price paid by home movers of £252,064. Regionally, home movers in London put down the largest average deposit of £166,265, some 35% of the average property value of £480,416. This is more than four times the average deposit put down by home movers in Northern Ireland at £40,128, the lowest in the UK. Home movers in the South West put down the largest average deposit in percentage terms at 36%. The report says that the recent changes to the stamp duty system have saved the average home mover £4,958, reducing the tax bill for the average home mover property of £252,064 from £7,561 to £2,603. ‘House price rises over the past 12 months have enabled more homeowners to make the next move on the housing ladder. The resulting higher levels of equity in their property are providing homeowners with more funds to finance the purchase of their next home,’ said Andy Hulme, Lloyds Bank mortgages director. ‘A steady rise in property values in 2015 should further ease the constraint on many of those who bought their first home around the peak of the market in 2006 and 2007, enabling more of them to become second steppers,’ he added. The research also shows that second steppers, those looking to get on the second rung of the housing ladder, have benefitted. Higher house prices have increased the equity of those still living in their first homes enabling more of those who previously had either very low or negative levels of equity to make their first home… Continue reading
New Zealand housing market saw a sales surge at end of 2014
Last year ended with a sales surge in the New Zealand residential real estate market with transactions up 24.2 in December compared with the same month in 2013. It was the strongest December sales since 2006 and the second strongest December on record, according to the data from the Real Estate Institute of New Zealand (REINZ). The index also shows that the national median price at $450,000, is up $23,000 on December 2013 but down $5,750 on November 2014. However, the Auckland median price reached a new record of $678,000. Overall there has been an annual increase in the national median price of 5.4% over 2014 compared with 9.8% over the 2013 and year on year sales were down 7% on the number sold in 2013. ‘The data for December shows very strong sales growth compared to 12 months ago and a much higher level of sales that we would normally expect for the final month of the year,’ said REINZ chief executive Helen O’Sullivan. ‘The effect has been seen right across the country, with a number of regions seeing further increases in sales in December after a strong November. The normal December slow down hasn’t really happened in 2014,’ she explained. However, she pointed out that apart from Auckland, median prices across the country have moderated somewhat. For the year ended December, Auckland’s median price rose by 13%, but the national median rose by only 5.4%. Even Canterbury, which has seen strong price growth during 2014 has seen its rate of price increase pull back to under 2% for the 12 months to December 2014. ‘The real estate market remains split between Auckland, with strong demand and price growth, and the rest of the country. While a number of regions are experiencing listing shortages the situation in Auckland is acute, with less than three months’ supply available and demand continuing to be robust,’ she said. ‘Vendors are simply not coming forward in large enough numbers to meet the demand, despite the strong price rises seen in Auckland over the past three years,’ she added. A breakdown of the data shows that four regions recorded an increase in sales volume compared to November with Hawkes Bay recording the largest percentage increase of 7.2%, followed by Nelson/Marlborough with 6.8% and Northland with 4.2%. All regions recorded an increase in sales volume compared to December 2013 with Manawatu/Wanganui recording the largest increase of 39.7%, followed by Waikato/Bay of Plenty with an increase of 34.8% and Wellington with an increase of 32.5%. The national median house price declined $5,750 or 1.3% to $450,000 compared to November. Compared to December 2013 the national median house price increased by $23,000 or 5.4%, with six regions recording an increase. On a seasonally adjusted basis the national median house price rose 0.2% compared with November and 4.7% compared to December 2013. Taking total volumes and prices into account, Auckland accounted for 98% of the increase in the median price between December 2014 and… Continue reading
