Docklands News

Estate agents are experiencing a dreary start to the selling season due to weeks of rain, which has affected the spring property market. Homeowners have been holding back from selling until their gardens and land look more presentable, while buyers have been delaying viewings until the weather improves. The rain has damaged gardens and land, making it unappealing for potential buyers. Research shows that the highest number of house sales are agreed in the four-month period from March to June, when rainfall is typically 42% lower than the rest of the year. The rain has also affected photographers' ability to take good pictures of properties, delaying marketing efforts. 

The Times (11/05/2024)  

Buyers with small deposits should consider looking beyond big name banks for the best mortgage deals, according to data analysis firm Moneyfactscompare.co.uk. Building societies typically offer lower rates for first-time buyers, and have also introduced innovative products in recent months. These smaller lenders are differentiating themselves from big banks by offering more flexible criteria for mortgage applications. Even when big banks offer lower rates, other fees associated with the mortgage can increase the overall cost. Rachel Springall from moneyfactscompare.co.uk advises first-time buyers to consider all costs and incentives associated with a mortgage before making a decision. 

The Sun (11/05/2024)  

Property values increased by 0.1% between March and April, according to the Halifax house price index, following a decline of 0.9% over the previous month. It meant an average home was £288,949 - 1.1% higher than the same month last year, and up from a rise of 0.4% in the year to March when prices averaged £288,781. Amanda Bryden, head of mortgages at Halifax, said: "This reflects a housing market finding its feet in an era of higher interest rates." Bryden said she believed that prices would "rise modestly" this year, having previously thought it unlikely that there would be an increase. Prices increased fastest in Northern Ireland, where they are 3.4% higher than they were 12 months ago at an average of £192,502. House prices in Scotland, Wales and the north west of England also increased year-on-year. However, home values in the east of England fell 1.1% to an average of £329,723.  

I (07/05/2024)   The Daily Telegraph (07/05/2024)   The Guardian (07/05/2024)   The Times (07/05/2024)  

The Royal Institution of Chartered Surveyors (Rics) has reported home buyer inquiries are "flatlining" as higher mortgage rates squeeze affordability. The property industry survey shows estate agents have scaled back their expectations as climbing borrowing costs put the brakes on demand. The institution said the property markets in London and the south of England had seen a particular "loss of impetus". A net balance of 1% of property professionals reported new buyer inquiries falling rather than rising in April, following a balance of 6% reporting inquiries rising in March. Over the coming year, a net balance of 33% of professionals expect house sales to rise rather than fall. A balance of 5% of professionals reported prices falling rather than rising in April. This was unchanged from the previous month. Simon Rubinsohn, Rics chief economist, said: "A modest back-up in mortgage pricing has contributed to the flatlining in the buyer inquiries metric over the past month." 

The Daily Telegraph (08/05/2024)   The Times (08/05/2024)  

Average mortgage rates have reached their highest level since the start of the year, with 17 lenders raising rates on fixed deals by up to 0.4 percentage points. The average two-year fixed-rate is now 5.93% and the average five-year fixed-rate is 5.5%, the highest since January 2. Hina Bhudia from the mortgage broker Knight Frank Finance said: "We're talking about a slower and potentially shallower cycle of interest rate cuts from the Bank of England. Markets are expecting a new outlook in which the Bank makes one or two cuts this year rather than five or six". Bhudia said there were fears that rising rates could affect the housing market: "It could dampen demand just as the spring selling season should be gathering pace. The sun is out and buyers are returning after the Easter break, so we'd usually expect these to be the busy weeks before the summer, however the uncertain outlook for mortgage rates will undoubtedly weigh on activity".

The Sunday Times (05/05/2024)  

The tower block from Only Fools and Horses has a confirmed demolition date and is set to be replaced by £850m flats. Nelson Mandela House, actually named Harlech Tower and located in South Acton Estate, London, has now confirmed that it is set for demolition in 2027. Ealing Council have plans in place to replace the aging "shabby" tower blocks with high-quality homes that can accommodate a larger number of residents. A spokesperson from Ealing Council said: "As it is nearing the end of its life expectancy, the South Acton estate is currently undergoing an £850m rejuvenation to become Acton Gardens, which will eventually provide around 3,500 brand new high-quality, safe, and energy-efficient homes alongside a community hall, youth centre, and other facilities.” 

Daily Express (06/05/2024)