Docklands News

UK house prices rose 0.9% last month due to a shortage of homes on the market, according to Nationwide. On an annual basis the price of an average home fell by 3.3% in October to £259,423 - down from £268,282 a year earlier. The month-on-month increase, which is the biggest for more than a year, came as a surprise to many economists. Robert Gardner, the lender’s chief economist, said that despite the month-on-month rise in house prices: “Housing market activity has remained extremely weak, with just 43,300 mortgages approved for house purchase in September, around 30% below the monthly average prevailing in 2019". Mr Gardner added that there was little sign of “forced selling”, which would exert downward pressure on prices, as labour market conditions were solid and mortgage arrears were at historically low levels, despite difficulties for some homeowners. 

BBC News (01/11/2023)   Evening Standard (01/11/2023)   Financial Times (01/11/2023)   The Guardian (01/11/2023)  

The number of home sales in September was 17% lower than the same month in 2022, according to HMRC figures. September saw an estimated 85,610 home sales - 1% lower than the total recorded in August. From April to September, there were an estimated 507,670 home sales, compared to 632,520 during the same period last year. Iain McKenzie, chief executive of the Guild of Property Professionals, said: “Although there are signs that the economy is recovering, the reality for many households is that they are still not able to afford to buy in the current climate", while Charlotte Nixon of wealth manager Quilter said that if the number of property deals continues to drop “prices will drop with them".

Daily Mail (31/10/2023)   Evening Standard (31/10/2023)   The Independent (31/10/2023)  

Figures from Experian show that 27% of under-30s in London taking on a mortgage this year did so with a term of 35 years plus - up from 11% in 2020. The data also reveals that 38% of Londoners currently have a home loan that will continue beyond the typical retirement age of 67 – exceeding the overall UK rate of 33%. Experian said: "Looking at our data, we can see that there has been a 144% increase in under-30s taking out a mortgage with a 35-year plus term, in just three years." 

Evening Standard (30/10/2023)  

Mortgage borrowers are being warned about the increasing arrangement fees charged by lenders. Virgin Money has launched market-beating rates, but with a 1% fee. This means that buyers could pay a fee of £5,000 on a £500,000 mortgage. While lenders usually charge fixed fees, percentage fees are becoming more common. Andrew Montlake, managing director at mortgage broker Coreco, said: "Many consumers have been hypnotised by a low headline rate only to find that the fee or associated conditions carry a nasty sting in the tail." He added: "Percentage fees can work in some borrowers' favour depending on the loan amount, but the calculations need to be run and carefully compared. " 

Daily Mail (28/10/2023)  

The second phase of Newham Council’s £300m regeneration scheme was awarded outline planning permission An additional 261 affordable homes have been added to plans for a Custom House regeneration project approved by Newham Council this week. As well as the 95 affordable homes currently under construction, the next phase of the Custom House masterplan includes a further 261 affordable homes, bringing the total to 356. The council is currently seeking a main works contractor to deliver the next phase of the project, with further planning applications expected to go in next year.

Housing Today (23/10/2023)  

The London property market has shown signs of recovery with an increase in listings and sales volumes. Last month, the number of homes listed for sale in the capital rose to 101,457, slightly above the level recorded in September 2022. Sales volumes have also started to pick up, with a low of 4,531 in February before climbing in March. The higher level of confidence has led to a 2.6% increase in average prices between March and July. 

Evening Standard (25/10/2023)