The property market in the UK gets in the news headlines as often as Donald Trump does. Any slight movement will set off both local and national media alike, so it can be difficult to keep track of what exactly is going on.
For that very reason, we’ve pulled together a list of updates on the UK property market so you can simply skim through this blog and be caught up in minutes. Handy, huh?
London property market
The big smoke is a place where a parking space alone can go for £400,000. With an increasing population and shortage of housing, prices keep going up and up.
But that’s not always true. In fact, right now, property prices are falling in super-prime postcode areas (such as SW1). That’s not to say the rest of London is seeing the same decrease, as it turns out the suburban areas are in fact seeing a sharp increase in prices.
This is good news for buyers of luxury property, but if you only just recently invested in property in these areas then you may want to keep a close eye on how it pans out. Perhaps suburban is the way to go next.
The age at which people are buying their first home is increasing, as people struggle to make the jump from rented to owned. The problem is the deposit and usual 10% minimum mortgages, but there is a saving grace – Help to Buy.
The scheme, along with changes to the way stamp duty is calculated, has delivered a positive impact on the housing market, with an increase in houses sold under the scheme, which allows for a 5% deposit, and in some cases a 20% loan from the government on top.
National house prices
Despite stronger sales for first-time buyers, it seems that the struggle may not be over just yet, as housing prices nationwide are up 10% year on year, with the average house price now 5.58 times earnings.
Cited as the reason for the increase is the lack of homes available, highlighting the problem reaches far beyond the capital. However, the latest budget did promise more homes to be built, so there may be light at the end of the tunnel, and a good opportunity for developers.
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