Docklands News

Mortgage rates set to fall below 4%

Mortgage rates are expected to fall below 4% early next year, with experts predicting that five-year fixed rates will fall in early 2025 while two-year rates are likely to follow later in the year. Elliott Culley, director of Switch Mortgage Finance, said: “Provided inflation doesn’t have any abnormal figures we should see a return to rates under 4% around February-time,” while Nick Mendes of brokers John Charcol said: “Mortgage rates are expected to decline in 2025, but the extent and pace of this reduction will depend on several factors.” Aaron Strutt, a broker at Trinity Financial, said: “From speaking to banks it seems they want a more positive start to 2025, which means offering as low a rate as possible,” adding: “We’ve seen before mortgage rates can come down even if the base rate stays the same.” Data from UK Finance shows that an estimated 1.8m fixed-rate mortgages are set to mature in 2025. 

The I (16/12/2024)  

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The key to winning at Monopoly...

In his new ITV show, Martin Lewis shared effective strategies for winning at Monopoly. He emphasised the importance of acquiring as many properties as possible early in the game.Lewis highlighted that the light blue properties, such as The Angel and Euston Road, are particularly lucrative once hotels are built. He also advised players to aim for three houses on each property, as this maximises return on investment, with a jump from 26% ROI for one house to 110% for three. Additionally, he noted that players should avoid the expensive green properties, which are less beneficial in the long run. 

Daily Mail (17/12/2024)   Metro (17/12/2024)  

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London prices expected to soar in 2025

London's housing market is expected to see an increase in 2025, despite years of muted price growth. Since 2019, house prices in the capital have risen by 12%, compared to 21% for the UK as a whole. Analysts expect 1.15m sales next year, 5% up on 2024, which will encourage sellers to increase asking prices. Mortgage lenders are also expected to be busy in 2025, as homeowners who took out a five-year fixed-rate mortgage during 2020's "race for space" remortgage are expected to be busy.

The Times (11/12/2024)  

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Money laundering inflates London house prices

Russian money laundering has driven up UK house prices, with an estimated £6.7bn of questionable funds invested in property since 2016, according to Transparency International. The organisation highlighted that £1.5bn of this comes from Russians linked to corruption or the Kremlin, with significant investments in Westminster (£430m) and Kensington and Chelsea (£283m). This influx of illicit wealth, particularly in London’s high-end market, has had ripple effects across the housing sector. Home Secretary Yvette Cooper and Foreign Secretary David Lammy criticised the use of London’s financial and property markets as tools for criminal activities. Writing in the Telegraph, they stated: "Britain needs to be making life as hard as possible for illicit finance," linking such activities to Putin’s regime, street gangs, and migrant smuggling operations. The Government has pledged to curb the exploitation of London’s financial system and mitigate its impact on housing affordability and crime. 

The Daily Telegraph (10/12/2024)  

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UK property prices rise 1.3% in November

In November, the average house price in the UK reached a record high of £298,083, marking a 1.3% increase, the largest rise this year. Amanda Bryden, head of mortgages at Halifax, noted: “Latest figures continue to show improving levels of demand for mortgages, as an easing in mortgage rates boost buyer confidence.” Despite this positive trend, Bryden cautioned that many buyers still face affordability challenges, stating: "A changeable economic backdrop may test buyer confidence." Northern Ireland experienced the strongest annual growth at 6.8%, while London maintained the highest average price at £545,439, up 3.5% from last year. Overall, property prices are up 4.8% annually, the highest increase since November 2022. 

BBC News (07/12/2024)   Daily Mail (07/12/2024)   The Guardian (07/12/2024)   The Standard (07/12/2024)  

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New planning rules empower mayors

Deputy Prime Minister Angela Rayner has revealed that the Government plans to "revolutionise" planning rules by allowing mayors to drive forward Labour's promise to build 1.5m homes. Under the ministers' preferred model, mayors would be able to call in "significant" planning applications and assume responsibility for approving or rejecting them. They would take charge of devising larger-scale development plans covering wider regions, with councils ordered to take part. Councils in areas without mayors would be required to make big decisions across local government boundaries. Rayner will set out plans to modernise the approval process by allowing applications that comply with local development plans to bypass committee approval. She denied that the Government was removing democratic power from councils and said the new streamlined approach was essential to end delays in building new homes, cut costs for individual schemes, and provide more certainty to housebuilders

Daily Mail (09/12/2024)   Financial Times (09/12/2024)   The Guardian (09/12/2024)   The Times (09/12/2024)  

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