Housing Market Crash of 1992 and 2008

Readers Question: How can i compare and contrast the current UK Housing market with that of the 1990s. What are the key drivers for the markets and the outlook for prices?The 1990s saw the end of a housing bubble and a serious house price crash in the year 1992.Leading upto the housing market crash of [...]

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[Source: Mortgage Blog]

Outlook for Interest Rates

A few months back I looked at the prospects for interest rates in the UK. Since then market conditions have increased the likelyhood of lower rates - With some commentators suggesting that base rates could fall to 4%. Whilst a 1.5% fall would represent a significant loosening of monetary policy, the prediction is based on [...]

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[Source: Mortgage Blog]

Financial New Year Resolutions for 2008

Financial New Year ResolutionsThe New Year is an opportunity to make a fresh start, getting rid of bad habits and resolving to find some new good habits. Financial Resolutions for the New Year can include:Have an Annual Financial Service.At least once a year it is worth looking at all your financial decisions and decide whether [...]

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[Source: Mortgage Blog]

Why US House Prices are falling - 6 reasons

House prices in the US are falling by over 4%. In some areas the rate is much higher.Many of these factors remain relevant for the UK housing market except: rise in defaults and over supply.Why US house prices are falling1. Correction to large Increases in House pricesUS house prices increased by 135% in the past [...]

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[Source: Mortgage Blog]

The Good and Bad News for UK Housing Market

The Bad NewsHouse prices are now unequivocably falling. Surveys by the Chartered Surveyors also suggest falling prices in the futureUS House prices are falling even more. Evidence suggests the US Housing Crash is deepening even more. House prices could fall by 5-10% next year (Bloomberg) There is concern that the UK market could mirror the [...]

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[Source: Mortgage Blog]

Tracker Mortgages offer Best Deal

The recent cut in interest rates by the Bank of England has not necessarily resulted in lower mortgage payments. According to a new report from the Press Association, only eight of 120 UK mortgage lenders have so far reduced their lowered their rates following the base rate decision.Given this reluctance to pass interest rate cuts [...]

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[Source: Mortgage Blog]

A Year in the UK Housing Market

Interesting article her in the Times - A Year in Housing. It offers a look back at a roller coaster ride for the UK housing market.Lookback at Housing market for 2007Despite conservative predictions for house prices in 2007, the first 6 months saw unexpectedly large rises in house prices as as average house prices touched [...]

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[Source: Mortgage Blog]

How to get a Home Information Pack - HIPS

The law now requires homesellers to have a home information pack HIP when selling your house. From 14th December you can have one in the pipe line but that wouldnt impress me as a buyer. From June you will have to have one from when you start marketing so here are some quick tips.Quick Tips [...]

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[Source: Mortgage Blog]

Is it a good time to Buy a House?

Many in the housing and mortgage industry are predicting house price falls for 2008. Therefore, many prospective house buyers may be worrying whether it is best to wait before buying. These are some of my thoughts about whether now is a good time to buy a house.Are you buying as an investment or are [...]

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[Source: Mortgage Blog]

Will A Fall in House Prices cause a Recession?

A reader, Rob, offered an interesting comment about the relationship between house prices and consumer spending. From: drop in UK house pricesWhy will a drop in house prices effect consumer spending, this has not occurred in the U.S. The only effect a house price drop will have is to stop consumers increasing their borrowing against [...]

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[Source: Mortgage Blog]

Tips to Consolidate Debt

Consolidating debt, means that you bring together different loans and debts and place them in one or two specific accounts. This makes it easier to manage. Also consolidating debt often enables a lower interest rate to be gained.What is the best way to go about consolidating debt?1. Work out Where your Debts are.The first thing [...]

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[Source: Mortgage Blog]

Prospects for Buy to Let

Despite the prospect of falling UK house prices, there remains some good news for Buy to Let tenants. Average rents are continuing to rise, buoyed by rising demand.A key factor in the rising demand for rentable properties is the growth in immigration, especially from Eastern Europe. This means that with rising demand, the price of [...]

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[Source: Mortgage Blog]

Interest Rate Cut for UK Homeowners

With growing signs of falling UK consumer confidence, the Bank moved to cut interest rates by 0.25% from 5.75% to 5.5%. However, it is uncertain whether the interest rate cut will actually be passed onto homeowners. Due to the credit crunch, there is a real problem of a shortage of funds for mortgages. For example, [...]

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[Source: Mortgage Blog]

How To Sell Your House for a Higher Price

I have just been watching a BBC programme - ‘Open House’ Basically, it suggests ways for people to increase the value of their house, through making minor changes. This article looks at the simple changes you can make to maximise your home’s selling price.First Impressions Count.Make sure the pathway to the house is free of [...]

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[Source: Mortgage Blog]

Reasons not to pay off your mortgage

Invest in HousingIn the past few decades buying houses has proved a very good investment. The buy to let sector offers good opportunities for capital gains and income from renting. Although, there are concerns about the short term prospects of UK house prices. In the long term, housing is likely to provide a good [...]

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[Source: Mortgage Blog]

Largest Drop in House Prices for 12 Years

Nationwide Building Society released their latest figures from the state of the UK Housing Market. These statistics suggest that house prices fell by 0.8%. It is the largest monthly drop since June 1995Combined with other statistics and reports, it shows there has been a fundamental shift in the prospects of the UK housing market.There is [...]

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[Source: Mortgage Blog]

What Factors effect House Prices?

House prices in the UK are probably one of the most popular topics of conversation. Partly this is due to the the fact house prices have nearly trebled since the mid 1990s. This has left a situation where homeowners have seen tremendous gains in wealth; Whereas those struggling to get on the property ladder have [...]

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[Source: Mortgage Blog]

Mortgage Lenders Criticised for Poor Advice

A study by the FSA has revealed that 25% of mortgage lenders are giving poor advice.In particular the FSA was critical of self certification mortgage lenders. Quite a few were willing to proceed with lending despite the uncertainty of the income for borrowers.10 of these (mainly) self-certification lenders now face sanctions from the FSA. These [...]

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[Source: Mortgage Blog]