Primelocation

The supply of new affordable homes has dried up in recent months, with local authorities losing their ability to force developers to provide cheap new homes as part of estates of houses for sale. For full story go to http://www.primelocation.com/news/affordable-housing-supply-dries-up/

Mortgage lenders’ have failed to pass on much of the cut in base rates, with margins between the base rate and lenders’ Standard Variable Rates more than doubling over the last year. For ful story go to http://www.primelocation.com/news/lenders-hold-onto-rate-cuts/

Half a million homeowners will fall into serious mortgage arrears this year because of the economic crisis, predicts the Council for Mortgage Lenders. There are now expectations that tens of thousands of families will be evicted by banks and building societies this year. To read the full story go to http://www.primelocation.com/news/property-auctions-to-increase-as-tens-of-thousands-face-repossession/

There are signs of increased buyer interest in the still depressed housing market. But this is yet to translate into a house price ‘bounce’. The latest optimistic signs come from the Royal Institution of Chartered Surveyors (RICS). There was a 16% increase in new buyer enquiries in January compared to December, reports RICS. It says

The scale of the recession has been dramatically illustrated by the decision of the Bank of England to cut its base rate to a mere 1%. For full story go to http://www.primelocation.com/news/almost-giving-it-away-bank-cuts-rate-to-1/

House prices could fall by a quarter from current values if predictions from the Centre for Economics and Business Research prove correct. Respected analysts CEBR expect prices to fall 32% from their 2007 levels by the first quarter of next year – providing the Government’s rescue schemes for the banks work. If they fail, house

Campaigners have lost the latest stage in their battle against the construction of up to 10 ‘eco-towns’ that the Government claims will provide tens of thousands of environmentally sustainable new homes – but which protesters argue will blight some of England’s most attractive countryside. For full story go to: http://www.primelocation.com/news/government-defeats-eco-towns-challenge/

Phase two of the Government’s bail-out of banks and wider economy has begun. If it works, there should be a big increase in mortgage lending over the rest of the year. If it fails the property sector will stay depressed for a long while yet. To read story go to http://www.primelocation.com/news/bail-out-phase-two-begins/

People wanting to buy properties to rent may find it impossible to arrange a mortgage, the latest figures from analysts Moneyfacts suggest. Moneyfacts reports that 93% of buy-to-let mortgage products have been withdrawn in the last 18 months. For full story go to http://www.primelocation.com/news/lenders-phase-out-buy-to-let-mortgages/

Foxtons, the estate agency that brought ‘bling’ to the property market, is not in danger of collapsing, nor will it be sold, its owners insist. For full story go to http://www.primelocation.com/news/foxtons-is-not-collapsing-insists-owners/

The Bank of England has cut the base rate to a mere 1.5% – the lowest rate in its 315 year history. But some of the largest mortgage lenders are unlikely to pass on to borrowers the full benefit of the reduction. For full story go to http://www.primelocation.com/news/base-rate-cut-to-lowest-ever-level/