In 2002, each of the country’s 24 million households was spending 1.50 on second homes, when averaged out. But this spending has surged to 4.80 per household for 2004/05.The figures, calculated from an ONS survey, include homes bought abroad as well as buy-to-let investments and holiday homes in this country. They reveal a clear trend toward British people owning more than one property. The ONS figures also show that consumers are spending more money on home improvements but less on home maintenance. In 2002 households spent an average 18.90 on home maintenance, rising to 22.80 the following year. Now, that figure is 23.70. Jeff Knight, head of marketing services at GMAC-RFC, says: “With the average spend on second homes rising to 4.80 from 1.50 in 2002 it is clear that owning a second property is more popular than ever. This could be in the form of a holiday home or in the nature of an investment as people get into the buy-to-let scene. “Despite what some commentators would have us believe the demand for buy-to-let properties will continue to boom which is great news for lenders and intermediaries. “People are continuing to invest in buy-to-let properties for many reasons – for example to supplement their retirement plans – and the number of reasons to invest is growing. With the changes to SIPPs in 2006 we expect further growth.”
Huntswood has appointed Dan Thomas as sales director. Huntswood provides consulting and customer services solutions, specialising in regulation and risk, performance consulting, training and business process outsourcing.
GE Life has slashed its lifetime mortgage rate from 6.25% to 5.89%.
The Treasury and the Financial Services Authority have responded to the European Commission’s proposals on mortgage credit in the EU. They say the UK is “sceptical” about EC intervention in mortgage regulation.
If the legendary December slowdown in business really does come to pass this year, use the time to reflect and plan ways to take your business forward, says Sue Read
As more and more providers start to reveal their stance on the charge cap and removal of commission and active member discount pricing, we thought it would be worthwhile to look at what these are, and the steps businesses should be taking to prepare for this.
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