The UK Mortgage Store News

December 2009 Newsletter – The Future is looking Brighter

As we reach the end of what has been another testing year for the mortgage market the future is looking decidedly brighter for 2010.

Throughout recent months we have continued to see gradual market improvements and house prices beginning to stabilise, leading to greater optimism in the housing market. Recently Halifax reported that house prices have gone up for the fifth month in row, rising by 1.4% in November and pushing the cost of the average UK home to £167,664. The average house price is now at a similar level to where it was in 2006 and according to the December Property Tracker survey from the Building Society Association (BSA) property prices will continue to rise a further 3% in 2010.

General housing market activity is picking up also, the number of buyers has risen to a 22-month high in October of this year, according to the Council of Mortgage Lenders. They recently reported that 55,300 mortgages were granted to buyers, which is the highest number since December 2007. This can be attributed to a number of factors including increased interest from buyers and mortgage lenders beginning to ease up on criteria and re-introduce mortgages at higher loan-to-values.

And we are finding that the number of different mortgage deals available has substantially increased over the past eight months. Moneyfacts.co.uk recently reported that there are 1,624 residential mortgages available, up from 1,209 in April 2009. The rise in available products not only means that there is greater choice for buyers but also that there is increased competition amongst mortgage lenders. This additional competition has helped to push some rates down and encourage lenders to lower their fees.

So what can we expect in 2010? No doubt market recovery will be a gradual process but the positive indicators are there that confidence is returning and there is an increased demand for property purchases.

We would like to take this opportunity to wish you a Happy Christmas and a Prosperous 2010

For further details or to arrange an interview please use our ‘Contact’ Page.

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October 2009 Newsletter – Mortgage Stamp Duty

If you are in the market to purchase property and the value is under £175,000 there is still time to save on your stamp duty costs before the threshold is reduced by the Government on 31st December 2009.
The increase in the stamp duty threshold from £125,000 to £175,000 was introduced by the Government in September 2008 in an attempt to kick-start the housing market. Whilst the initiative has come under fire for failing to have a substantial impact on property sales it is estimated that over 25% of first-time-buyers who purchased a property between September 2008 and August 2009 did not pay stamp duty as a result.

A recent report from Halifax has also indicated that up to 112,000 individuals in total have been able to avoid paying the property tax as a result of the increased threshold. And with just over two months left before buyers will be required to pay 1% tax on all properties priced between £125,000 and £250,000 there is still opportunity to save if you are in the process of buying a property.

With the potential to save up to £1,750 in stamp duty fees, this considerable discount can significantly help to save money. Coupled with the recent report from Nationwide that house prices are now at the same level they were a year ago, following the fifth consecutive month of rises if you are in the market to buy now could be the time to do so.

And The Mortgage Store (TMS Ltd.) can help. Contact us today and we will discuss the options available, guide you through the mortgage process and help to unravel the financial jargon. We look forward to hearing from you.

For further details or to arrange an interview please use our ‘Contact’ Page.

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