Maintaining housing provision

The Prime Minister recently announced the doubling of the number of new homes built as part of the ‘Kickstart’ initiative to open up mothballed sites. The reallocation of government money for housing is a clear and welcome recognition of the importance of the need to maintain housing provision and of house building to the economy.

Increase in new buyer enquiries reported

Expectations that house prices are set to rise have increased for the first time since May 2007 because of the low number of properties on the market and increased interest from potential buyers, according to the latest housing market survey.

Socially responsible and prudent solution to people in negative equity

The Nationwide Building Society has introduced a mortgage allowing borrowers to take loans worth 125 per cent of the value of the home they are buying. The lender said the loans offered a “socially responsible and prudent” solution to people in negative equity.

Over three quarters of new home owners would recommend their builder

The vast majority of Britain’s new home buyers would recommend their home builder to a friend, according to the Home Builders Federation’s (HBF’s) fourth annual Customer Satisfaction Survey.

The problems caused for lenders by imposing planning restrictions

A new briefing note has just been published by the Council of Mortgage Lenders (CML) for local authorities and housing associations to highlight the problems they can cause for lenders by imposing planning restrictions under section 106 of the Town and Country Planning Act 1990.

What the numbers show

Estimates suggest that a higher proportion of young first-time buyers than ever before are getting help from parents to enter the market. But, the latest data shows signs that lending criteria stopped tightening in May. Since reaching a record 25 per cent in February, the average first-time buyer deposit has remained unchanged. And the typical first-time buyer income multiple has held at 2.97 from April.

Measures taken by the authorities have stabilised the economy

The Council of Mortgage Lenders (CML) have announced that due to the large cut in interest rates they predict there will be fewer households falling behind with their mortgage payments this year, as well as a reduction in the number of homes taken into possession.

Not the only influence on mortgage pricing

The Council of Mortgage Lenders (CML) is concerned that some recent coverage of fixed-rate mortgage pricing fails to reflect the complex array of influences on lenders’ pricing strategies at present.

Underwriting a proportion of the lender’s ultimate risk of loss

The government has launched a Homeowners Mortgage Support scheme (HMS). This scheme enables eligible borrowers to defer a proportion of their interest payments for up to two years, with the government underwriting a proportion of the lender’s ultimate risk of loss.

Quarterly survey revealed a “bounce back” in the buy-to-let market

Landlords have been buying more properties in the last quarter according to a recent survey. The Association of Residential Letting Agents (ARLA) quarterly survey revealed a “bounce back” in the buy-to-let market.

Make sure your figures add up

The British love affair with property investing has been very evident over the past decade and despite a tougher market, those looking to get into the market should beware of easy buy-to-let deals and still make sure their investment meets a strict checklist, or dreams of property riches may turn into financial disaster.

Covering your monthly mortgage payments for a specified period – your questions answered.

If you fall behind with your mortgage repayments and cannot catch up again, you could eventually lose your home. But you can take steps to protect yourself against this risk by taking out Mortgage Payment Protection Insurance (MPPI).

A range of issues to consider before entering the residential lettings market

This checklist is an introduction to buy-to-let highlighting the types of questions you should be asking yourself before buying a property to let out. It is not intended as an exhaustive list, merely an introduction for new buy-to-let investors, to a range of issues they should consider before entering the residential lettings market for the first time.

“Stunting market recovery”

The Home Information Pack (HIP) is being blamed for “stunting market recovery” according to estate agents. The National Association of Estate Agents (NAEA) in a recent survey reported that of its members, ten per cent of agents believed the number of sellers would double if HIPs were suspended.

Government allocates £1.7bn for new homes

The Housing Minister John Healey recently announced £1.7bn funding to build 11,200 new homes and regenerate 10 of the most deprived areas of the country. Ten local authorities in six regions are to receive the cash under the housing private finance initiative (PFI) in order to allow them to deliver 4,500 new or improved council homes and 1,600 new affordable rented homes.