The monthly property market survey fact file from the Propertysurveying.co.uk team collating survey data from the building and property market. To read click here.
The Consumer Prices Index, which is used by the government to measure the annual inflation rate, rose to 3.4% last month (March). It was 3% in February. The increased price of petrol and diesel, and the knock-on effects of this on other sectors, is blamed for the increase. Also, the bad weather in January forced the price of certain produce up, as some vegetables became more scarce as a result.
Source: Office for National Statistics 20/4/10
The Bank of England has maintained the help to the economy and the property market by leaving bank rate at 0.5% for another month.
The Bank Rate was previously changed by a reduction of 0.5 percentage points to the current 0.5% on 5 March 2009. This will no doubt encourage the property mortgage rate for the majority of lenders to stay at relatively low levels.
Building Survey and Valuation data has shown that the general property market is relatively active for those able to pay larger deposits. The extent of the recent stamp duty changes on property sales has yet to be accurately established. Many lenders are charging higher rates and limiting the availability of funds to those with smaller deposits available for property purchases.
8 April 2010
So the election has been called and some uncertainty for the economy and the property market may soon be over. We will know which collection of politicians forms the next government after May 06th. How will their individual policies affect the property market?
Confidence in property house prices, property sales volumes, property valuations, building surveys and the legal changes proposed could all be affected by the outcome.
A detailed analysis will be made on a party by party approach over the coming weeks and posted in the propertysurveying.co.uk newsletter archive.
06th April, 2010
Whilst the annual shift in house prices for the 12 month period across the whole of England and Wales rose to 2.5% over the whole spectrum of residential property, according to the Land Registry, the numbers of transactions in the lower end (sub £175,000) of the market rose approximately 8% above normal. For the rest of this article, click here
More evidence of the recovery in the UK property and housing market has been released from HM Revenue and Customs (HMRC). HMRC has reported that completed residential property sales have hit a two year high in December. (To read more click here).
The economic forecasting group Ernst and Young Item Club has reported today that not only are we officially out of recession, but that the next decade is likely to see a period of slow growth which will see a period of adjustment. They report that there will be a greater reliance on the world economy, with especial regard to the rate of growth in the Export sector as the worlds economy expands levels of trade by an estimated 23% over the next three years.
The pound not being prevented from adjusting, as is an economy tied into the eurozone, will undoubtedly assist the prospect of exports by helping to make our exchange rate more internationally competitive.
Official figures to be published on January 26 are widely expected to show that Britain finally emerged from recession in the final three months of 2009, the last major economy to do so.
The outlook however is for possibly only GDP growth of 1% in 2010, with 2.5% in 2011 and 3% in 2012.
The report also casts aspursions on the budgetary figures provided by the Chancellor.
To read the full report click here .
The ITEM club or Independent Treasury Economic Model is an economic forecasting group based in the United Kingdom. It produces quarterly forecasts, which are often mentioned in the UK news media. It was founded in 1977 and is sponsored by Ernst & Young a leading firm of business and financial advisers. Founded in 1977, ITEM is said to be independent of any political, academic or commercial bias. Its independence is underpinned by the untied sponsorship of Ernst & Young.
To read more articles on News Items click here .
Editor 18th January, 2010
Market conditions in both the UK and North America during 2009 were better than
those experienced during 2008, although they still remained challenging reports large scale developers, Taylor Wimpey Plc. in their Trading Statement released today.
They report that their UK business has maintained its encouraging performance since their Interim Management Statement in November and that they enter 2010 with a “very strong order book position”.
Taylor Wimpey are active in the land market and approved new land purchase commitments for
3,003 plots at 22 new sites during the second half of 2009.
The numbers of properties being completed and released to the market was down on 2008 but this is unsurprising due to the timelag between the strategic decision making process, and a site being built out or completed following development.
Sale prices of new homes has increased on average from £153,000 to £160,000, the company reports. The overall debt within the group was reduced by greater than 50 % to £750 million in line with expectations to the year end 31st December, 2009.
Taylor Wimpey plc builds homes in the UK, North America, Spain and Gibraltar.
Editor 18th January, 2010
Barratt Developments chief executive has stated that the off plan purchasing of new properties is again on the rise. This is most predominant in London and the South East.
Barratt Developments, Britains biggest New Home developer issued a formal “Trading update”. It noted that the company ghas been buying land again since mid 2009 and that the number of reservations of new homes was up as well as an average increase in achieved prices of 4%. (This can of course be partly due to a change in the mix of units that has come on line.)
It will be interesting if this activity is reflected in the announcements of Britains other major house builders over the coming weeks.
To connect to a Local Chartered Surveyor for advice on a new or older build property, click here.
15th January, 2010
Historically, the stockmarket has always shown a good spurt of growth between 6 months and 24 months before the majority of the UK economy and the Housing Market moves forward once again. The financial markets have been moving generally upwards since January 2009. To read more click here.