July 2009

Land Registry shows rise in house prices
29 July 2009

Latest figures from the Land Registry show the first monthly rise in house prices since January 2008. The figures state the current average house price in England and Wales is now £153,046.

The southwest has seen the average property price increase by 0.4%, slightly above the England & Wales average increase of 0.1%, with the average southwest property sitting at £161,750.

Source: Land Registry

Long Term fixed deals removed
24 July 2009

Long term fixed rate mortgage deals of up to 25 years seem to have been removed completely from the market.

Back in January 2008 there were at least 8 lenders offering 25 year fixed rate deals. In the current market there are none.

There are still several options for those wishing to fix in for 10 years, and even the odd 15 year deal, but the majority of lenders are now only offering deals of up to 5 years.

Although most borrowers tend to shy away from such long term deals, some may appreciate the certainty they offer as such deals mean any volatility in the housing and mortgage market wont effect their monthly payments.

Sources:
www.introduceruk.com
Trigold Sourcing System 23/7/09

Buyer activity higher than expected
24 July 2009

Rightmove, the online property website, has reported its busiest week ever in terms of pages viewed on its website.

This improvement in buyer sentiment, combined with recent data showing growth in the number of mortgages being approved, is a strong sign for the housing market, although figures for mortgage approvals and property transactions are still far below long term averages.

Sources:
www.rightmove.co.uk
www.introduceruk.com

Mortgage Lending up in June
24 July 2009

The British Bankers Association has stated that gross and net lending increased modestly in June, with over 35,000 mortgages being approved.

The Royal Institute of Chartered Surveyors commented that this coincides with a continuation of increased activity from new buyers and suggests that mortgage activity will continue to increase over the coming months.

Source:
www.rics.org
www.bba.org.uk

Almost 10% of purchases fail due to mortgage problems
24 July 2009

A survey of members of the Royal Institute of Chartered Surveyors (RICS) has found that nearly 1 in 10 property sales fall through due to mortgage problems. This has led to some Estate Agents demanding financial health checks of potential buyers.

This statistic underlined the importance of using a mortgage broker. By using a professional mortgage service you can be certain of what your borrowing capabilities are, and this could save considerable time and expense when compared to finding yourself 2 months into the buying process only to have your mortgage fall through.

Source: Times Online

Many not seeking advice
7 July 2009

The Financial Services Consumer Panel (FSCP) carried out research into the actions of consumers who are facing difficulty with their mortgage, they have found that nearly half do not seek advice in dealing with their problems, this is despite seven out of eight people stating that they experienced difficulties and that they considered these problems to be serious.

It appears that one of the main reasons for not obtaining advice is a perception that advice is either unnecessary or inappropriate for their needs.

We at Worldwide Financial Planning, can not emphasize enough the importance of contacting your lender if you are facing difficulties and then obtaining independent advice. Burying your head in the sand is not a viable option, and the earlier you obtain advice the better.

Adam Phillips, chairman of the FSCP, reminds us that;”Mortgage lenders have a duty under the principle of Treating Customers Fairly both to help their customers in arrears, and also to tell them about independent sources of advice.” which will hopefully reinforce the reasons for contacting your lender sooner rather than later.

Source: www.fs-cp.org.uk

‘Your home may be repossessed if you do not keep up repayments on your mortgage’