Docklands News

After more than a year of surging house prices, forecasters have predicted that the market has peaked and is likely to decline next year. "The prospects for the housing market over the medium term now appear gloomier," says Karl Thompson, an economist at the Centre for Economics and Business Research. He has predicted that house prices will fall by 2% in 2023. Mr Thompson is not the only one to call the top of the market, despite figures from the Office for National Statistics showing that house prices rose by 10.9% in the year to February. 

The Sunday Times (17/04/2022)  

One Housing Group’s plan to demolish and rebuild an estate in London’s Docklands have been backed by residents in a ballot. The company, which merged with Riverside last month, plans to build 347 homes on Stewart Street on the Isle of Dogs. More than four out of five resident voters, 82%, backed the proposals. Under the plans, which have not yet been developed in detail, two existing blocks and a community centre containing 84 homes will be demolished. A new development, likely to comprise three towers, will be built along with a new community facility. Of the 347 homes, 96 will be for affordable tenures, made up of 67 for social rent and 29 for shared ownership. One Housing will now begin the detailed design of the scheme with architect PRP and will appoint a delivery partner ahead of a planning application.

Housing Today (11/04/2022)  

UK house prices rose 10.9% year-on-year in February, Office for National Statistics (ONS) figures show. This is up from a 10.2% increase in January. February's increase exceeded forecasts, with analysts predicting a 10.1% rise. Prices were up 0.8% month-on-month, following a 1.1% monthly rise in January. The increase recorded in February took the average house price to £277,000, with this  £27,000 higher compared to the same month in 2021. House prices in England grew by 10.7% to an average of £296,000 in February. Wales reported a 14.2% rise to £205,000, while prices increased by 11.7% to £181,000 in Scotland and by 7.9% to £159,000 in Northern Ireland. The ONS data also shows that the private rental prices increased by 2.4% in the 12 months to March, with the increase hitting 3.3% if London is excluded. In related news, London house prices grew at an annual rate of 7.4% in the first quarter of this year, up from 4.8% in the same period last year and the fastest rate since 2016, according to the mortgage provider Nationwide. 

City AM (13/04/2022)   Daily Mail (13/04/2022)   Financial Times (11/04/2022)   The Independent (13/04/2022)  

The number of buyers and home owners searching for a mortgage hit a record high in March, according to analysis by Twenty7Tec, a mortgage data firm. It recorded almost 1.6m mortgage searches last month, 60,000 more than at the time of the original stamp duty tax break deadline in March 2021. Almost 60% of borrowers searching for a loan were buyers, while the remainder were remortgaging. Nathan Reilly, of Twenty7Tec, said: "Inflation-driven rate rises are driving remortgage search volumes higher than predicted at the start of the year... Even the purchase market remains buoyant in the face of wider macro economic uncertainty." Mortgage searches grew fastest in the £250,000 to £500,000 range in March, up 14.6% month-on-month, according to Twenty7Tec. But house price inflation has meant more demand for mortgages to buy properties priced at £1m and above. Almost one in 20 mortgage searches is now for a house valued above £1m. 

The Daily Telegraph (09/04/2022)  

Housing association tenants of long leasehold flats in England are to be brought into a revised service charge management code, under proposals being consulted on by the Royal Institution of Chartered Surveyors (Rics). The code sets out best practice for the management of leasehold residential blocks and estates and is used by the courts to settle disputes about service charges. In the past it has only applied to leaseholders within privately-owned developments. The proposals would not stop landlords from potentially increasing charges, but they would require them to set out the rationale behind setting service charges, Rics added. “Proposed enhancements to the code will improve consistency within the industry and transparency for leaseholders in relation to service charges, agents fees, long term planned preventative maintenance plans and reserve funds," Rics said. 

The Independent (09/04/2022)  

A 52-floor tower block is set to be added to the Canary Wharf skyline after being approved by councillors. An application by developer Ballymore for the 174-metre high skyscraper, in Cuba Street, has been given the green light by Tower Hamlets Council's strategic development committee. The plans had been due for debate earlier this year but a decision was delayed after issues were raised by the London Fire Brigade (LFB). The original proposals included only one fire escape staircase. In an updated consultation response, LFB said it "appreciated" the developer's amended design, "in particular the inclusion of two staircases". The proposal includes 421 flats, of which 100 are classed as "affordable". It features a new 1,630 square metre public park, which Ballymore claims would be the biggest open public space brought to the Docklands in 20 years. features a new 1,630 sq m public park, which Ballymore claims would be the biggest open public space brought to the Docklands in 20 years.

Building (04/04/2022)   East London Advertiser (05/04/2022)