House prices in England have reached record levels because the instability of the market is causing sellers to overprice, says Moneyfacts.House prices in England were 7.7% higher between April and June this year than at the same time in 2005, figures from the Land Registry show. Lisa Taylor, spokeswoman for Moneyfacts, says: “The World Cup and the hot weather may have had small parts to play but the inactivity in the market is probably more down to the fact that there has been a lot of hype in the media about insolvencies, bankruptcies and repossessions. “People who are borderline may be swayed by this instability. And rumours of another rise in the base rate could be another deterrent.” She adds: “Sellers are overpricing their houses in a reaction to the instability of the market and are then being forced to drop their asking prices to get sales.” A study by haart estate agents shows sellers are being forced to drop their asking prices by as much as 4.8% to combat the flagging market. The study reveals the average house price in London is 245,017, a 1% increase on last year. However, in-activity in the market has resulted in sellers accepting less than their asking prices. Paul Smith, chief executive of haart, says: “As this hot summer continues the inactivity in the property market means that only properties that are correctly priced are being snapped up. “In this heatwave, people would rather be out at barbeques and enjoying the weather than shopping for houses.” He adds: “But the temporary dip in the market and the fall in prices has en-couraged first-time buyers to return. This is the time to go out and hunt for a bargain.”
The Association of Mortgage Intermediaries has launched its latest factsheet entitled ‘Home Information Packs Update’. It has been prepared as a briefing on the recent developments on the schedule, contents and delivery of the governments HIP initiative.The factsheet, a follow-up to AMIs November 2005 factsheet, aims to provide members with clear information on the recent […]
Mortgage packager em- has launched a new semi-exclusive range of non-conforming and near prime commercial products through em-commercial. These products are dedicated to the growing Northern Ireland market and are being launched in association with Commercial First Northern Ireland.Both ranges should gain interest from brokers across the area with the non-conforming offering up to 75% […]
Although the equity release market holds huge potential, and consequently presents great sales opportunities for mortgage brokers and IFAs, it is also one of the most controversial and complex areas of mainstream personal finance. Brokers are taking on board the complexities of equity release, but there are still instances of poor practice in this field. […]
Online conveyancer Easier2move is launching a new centralised remortgage team to speed up transactions.Internal research from E2M has revealed that 12% of transactions are held up due to the client not returning their questionnaires on time. The service will see the centralised team chase up client questionnaires – amongst other documents – on behalf of […]
After a flat year for European equities, in which the Artemis European Growth Fund outperformed, manager Philip Wolstencroft is (cautiously) optimistic about 2016.
News and expert analysis straight to your inboxSign up