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

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November 2009 Newsletter – Winterproof your Home

The dark nights and cold weather are not the only signs that winter is here, they are also contributing factors to the rise in home and contents insurance claims at this time of the year.

While various factors can be accredited to the traditional rise in these types of insurance claims during winter, the number of home break-ins due to opportunist thieves taking advantage of the darker nights does tend to increase. Halifax recently stated that they had seen an 8.5% rise in home contents insurance claims due to the longer winter nights over recent years. So aside from increasing security measures and vigilance what other measures can be taken?

By ensuring that your possessions are adequately covered you can help to protect against the unexpected should they be affected by theft or accidental damage. There is a wide range of cover available, new-for-old policies will provide a replacement or repair the cost of any stolen or damaged goods; an indemnity policy will replace exactly what was there before. By discussing your requirements with a financial adviser they will discuss all the options available and will recommend a policy that is right for you.

And aside from ensuring that the contents within your home are adequately protected it is also essential to check that your home itself is covered. Winter can take its toll on our homes, extreme cold can freeze and break pipes, which can cause significant water damage. Escape of water inside the home is the single biggest cause of home insurance claims, accounting for around one in five claims in a normal year. Last year Lloyds TSB reported a 15% rise in home insurance claims following the extreme cold conditions.

With this in mind it is important to check that your home insurance policy covers against damage from cold weather, floors, frozen pipes and any other restrictions. You may find that your policy excludes damage to fences and gates, which could be avoided with the right cover in place.

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

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