You are here: Home - First Time Buyers - News -

UK house price growth remains sluggish

0
Written by:
13/11/2014
The Royal Institute of Chartered Surveyors (RICS) survey showed that UK house price growth in October had slowed for the fourth consecutive month.

London bore the blunt of the decline in the number of first-time buyers with 62% more surveyors reporting a fall in demand across the capital. The rest of the UK experienced a net balance dip of -18% bringing sales expectations to their lowest since the beginning of the year.

Scotland and Northern Ireland have the most optimistic outlook in the run up to Christmas with net balances of 36% and 37% respectively. The news is much better for the letting market, however, as demand continued to grow nationally. This has been particularly true in East Anglia, Scotland and the North of England.

Simon Rubinsohn, RICS chief economist, said:

“The flatter trend in the market is partly a reflection of potential buyers becoming a little more cautious about making a purchase as more stringent lending criteria has made it harder to access mortgage finance.

“An increasing awareness of the approaching general election also appears to be contributing to the softer market if the responses to the latest survey are anything to go by. However, with new instructions still flat at a headline level as has been the case for most of the last year it seems implausible that the dip in demand will result in very much of a decline in house prices.”

Halifax reported earlier this month that monthly house prices fell by 0.4% between September and October. Meanwhile Broker Conveyancing, the broker-focused conveyancing distributor, has revealed its transaction and remortgage instruction levels have continued to show a month-on-month rise.

Compared to September’s figures, the total number of transaction instructions in October – comprised of both sales and purchases – increased by 13%, with remortgage instructions increasing by 6% over the same period. Total instructions for October were 11% up on the previous month.

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Six bank statement mistakes that can ruin a mortgage application

Being overdrawn and having a history of payday loans can be red flags to lenders when they...
Six bank statement mistakes that can ruin a mortgage application

Jargon Buster

When you take out a mortgage you will probably encounter a raft of jargon, some of which c...
Jargon Buster

Low deposit mortgage deals see dramatic rate cuts

Borrowers with a five or 10 per cent deposit are seeing significant reductions in the cost...
Low deposit mortgage deals see dramatic rate cuts

Guide to borrowing past retirement age

As an older borrower, you may be concerned that a lender will not offer you a mortgage pas...

Mortgage market biased against homeowners

Buy-to-let property investors are unfairly favoured in the mortgage market, an independent...

Should buy-to-let investors ‘go Dutch’?

The Netherlands is revealed as Europe’s top buy-to-let property hotspot

Private sector tenants in poverty double in decade

The number of private rented sector tenants in poverty has doubled in the last decade from...

Large mortgage broker firm launches with fees of over 1%

An insurance firm has launched a mortgage advice service

Second steppers targeting detached properties

Those living in their first home are increasingly looking to reduce the steps to their lon...

Mortgage Calculators

+