Docklands News

New figures reveal that the new average two and five-year fixed-rate mortgages now have an interest rate of less than 6% for the first time for two months. Data from financial information service Moneyfacts shows the typical two-year deal on the market now had a rate of 5.99%, and was likely to fall further, while the average five-year fixed-rate deal dropped below 6% nearly two weeks ago, and is now at 5.78%. 

BBC News (05/12/2022)   Financial Times (05/12/2022)  

The Herzog & Meuron-designed One Park Drive in Canary Wharf, the fourth tallest residential building in London, has been named as the best large housing scheme at the New London Awards 2022. The 58-storey, 484-home circular and geometric tower was created by stacking and rotating each individual floorplate, giving every home a view of the London skyline from its own private sheltered terrace. The development includes a 24-hour concierge service, health club, residents’ lounge and library. The duplex penthouses on the 56th floor went on sale in October starting from £3,950,000.

Evening Standard (30/11/2022)  

The average first-time buyer will take seven-and-a-half years to save for a deposit to get on the property ladder, new research has found. And the average prospective buyer predicts they will be 37 years old by the time they finally step on the property ladder, up from 32 years old two years ago. By comparison, existing homeowners only took five years to make their first purchase, which was made at age 28. While 28% of those who are waiting to get on the ladder also believe the only way they'll be able to is through an inheritance. The research was commissioned by First Direct, which found most first-time buyers - at 71% - intend to use their savings, and four in ten - at 35% - are planning to use Government programmes such as the Help to Buy and shared ownership schemes. More than half (56%) of those, who already own a property, were able to buy their first place on their own. But far fewer people (35%) believe they can afford to buy a house solo in 2022 or beyond.  

Daily Express (30/11/2022)   Daily Mail (30/11/2022)   The Sun (30/11/2022)   The Times (30/11/2022)  

Mortgage rates are beginning to fall after the “premium” caused by the aftermath of Liz Truss’s mini-budget, the governor of the Bank of England said. Andrew Bailey told the Lords economic affairs committee that more mortgages were becoming available and that the rates on new fixed-rate deals were coming down after hitting 6.2%. However, he said it would still be “very difficult” for hundreds of thousands of households when they came off fixed-rate deals next year on to higher rates. He said interest rates would have to rise further as the Bank tried to control inflation, but insisted that they would do so by less than the 5.35% priced in by markets. 

The Times (30/11/2022)  

A report by real estate investment company AEW claims that Britain is on track to have Europe’s strongest property market across the next five years as UK Government bond yields are better placed to endure interest rate rises than their European counterparts. AEW said UK property figures show investment in London and Paris grew by 17% and 11% respectively from the beginning of the year to the end of October, while real estate investment in Berlin fell by 55% and in Frankfurt by 21%. 

The Daily Telegraph (25/11/2022)  

The only remaining London borough where home prices on the resale market have increased by double digits is Barking and Dagenham, according to analysis of Land Registry data by Bloomberg. The east London district defied a wider house price slowdown in the capital the research found. The opening of a new train station in the summer, connecting Barking Riverside to central London in as little as 22 minutes, may have contributed to the 10% increase in the borough’s home prices during the period. The figures show the median price paid for an existing home in Barking and Dagenham was more than £377,000 ($449,460) in July compared with about £341,900 one year prior. Transport for London says reduced journey times to central London will help create 7,000 more homes in the Barking Riverside area, on top of the 3,000 already built or under construction in the former industrial site. An Uber Boat service which opened in April also runs from Barking Riverside Pier to central London locations including Canary Wharf, Westminster and the City.

Bloomberg