Positive UK Housing Market

May 20, 2016

Housebuilding is an industry which at present  continues to do well with various housebuilders reporting excellent results,   the governments ‘help-to-buy’ scheme is a major contributing factor to this.

We have a situation at present where we have strong competion between mortgage lenders and mortgage rates are  at all time lows, indications are that this will continue well into 2017. There has been negative spin put out recently by the likes of George Osborne (Chancellor) and Mark Carney (Governor of BoE) that if the EU referendum result was to ‘Leave’, then we may well see interest rates predictions change.

There are dominant risks for the industry which will revolve around the market response to rising interest rates, with many predicting that highly leveraged markets such as London would be hit hardest by any significant rise. Such a rise in interest rates would have a major impact on mortgage payments, the effect this would have on borrowers should not be underestimated, the property market could well turn sour very quickly if this happens.

For the moment the interest in creating more homes especially in London is the pursuit of the government and the recently elected Mayor of London Sadiq Khan who has already voiced his intentions to reallocate land for development.

One of the biggest firms in the industry Taylor Wimpey has announced that it sees a ‘very positive’ housing market in the UK, with healthy confidence and demand

 

 

Allen Walkey

Highly experienced businessman with a successful career in property sales and investment both in the UK and abroad. Now a freelance writer and blogger for the property and Investment Industry, keeping readers up-to-date with changes and events in a rapidly changing world.

You May Also Enjoy

Breaking News

How to market to Estate Agents UK

The UK’s property sales and letting industry is quite sizable in both volume of work and those employed within. Some 25 million dwellings in England alone exist and there were estimated to be approximately 55,500 estate agents working in the United Kingdom as of the second quarter of 2024. Up and down the country, in…
Read More →
Letting Agent Talk

Preventative Measures to Reduce the Risk of Emergencies in a Rental Home

Ensuring that a rental home is safe and well-maintained is essential for both landlords and tenants. Emergencies in a rental property can lead to significant stress, financial loss, and potential damage. However, by implementing preventative measures, landlords and tenants alike can reduce the risk of emergencies and create a safer living environment. This guide provides…
Read More →
Estate Agent Talk

Understanding the Metrics Used by Estate Agents to Determine Your Home’s Worth

Determining the value of a property can sometimes feel like a complex process shrouded in mystery. However, understanding the various metrics and considerations that estate agents use to assess your home’s worth can demystify the process and empower you as a homeowner. This blog will provide a comprehensive guide to the key factors estate agents…
Read More →
Breaking News

Breaking Property News 15/11/24

Daily bite-sized proptech and property news in partnership with Proptech-X.   Digital transformation of real estate drives profitability Press Release – London 14th November 2024 – Following the October budget, estate agents across the UK are seeking new ways to adapt to an evolving property market. Rising costs and shifting buyer expectations have driven a need…
Read More →
Estate Agent Talk

Labour’s Vision for Homeowners and Renters: Key Changes to Expect

The UK housing market continues to be a complex and often challenging landscape for both homeowners and renters. Labour’s vision for housing reform aims to address longstanding issues in affordability, security, and sustainability, setting out a series of policy proposals that could reshape the property market. Whether you are a homeowner, a renter, or an…
Read More →
Letting Agent Talk

The pros and cons of renting to students: is it the right choice for you?

Student properties are no different in term of quality and facilities than any other type of private rental. And although landlords may have to spend a fair amount on setting up and properly maintaining student lets, they can also charge a good market rent. To help you decide whether letting to students might be worthwhile…
Read More →