Primelocation

English property prices are falling fastest in the South East and London, according to the latest figures published by the Land Registry. For full story go to http://www.primelocation.com/news/south-east-prices-fall-fastest/

Falling house prices are good news for potential first-time buyers, the Halifax review of housing affordability has stressed. There has been a big improvement in housing affordability over the last year. Go to http://www.primelocation.com/news/more-houses-become-affordable/ for full story.

Two mortgage brokers – Andrew Bowden of Surrey and Shaun Lawrence of Nottingham – have been banned by the Financial Services Authority for breaching rules and misleading the regulator. They are the latest example of an extensive blitz of the sector during 2008, which has seen many intermediaries prevented from continuing to sell home loans.

Mortgage lending by the high street banks fell by 60% in the last year, according to the latest figures released by the British Bankers Association. In November 2007, more than 45,000 new home loans were approved: a year later it was less than 18,000. See http://www.primelocation.com/news/mortgage-lending-slumps/

The Government has made fresh moves to stimulate the lending market, by reforming its Credit Guarantee Scheme for banks’ borrowing. It hopes the changes will increase the availability of home loans. See http://www.primelocation.com/news/fresh-moves-to-get-lending-going/

House prices have another 15% to fall, suggests the head of one of Britain’s largest banks and mortgage lenders. John Varley, chief executive of Barclays Bank, predicts that house prices will eventually lose about 30% of the market value of their peak from last year. They have so far fallen only half that amount. See

The Government has agreed to a major reform of the widely criticised Home Information Packs. From April, HIPs will be made simpler but more comprehensive, and must be available from the first day a property is marketed. See http://www.primelocation.com/news/HIPs-to-be-simplified/

HSBC is promising to double last year’s mortgage lending in 2009, as part of its attempt to increase its share of the home loans market. It has previously had a much lower exposure to the UK mortgage market than its main competitors and has so far avoided the level of damage from the global crisis

The Office of Fair Trading (OFT) is to investigate the market for buying and selling homes. It will consider not only the role of traditional estate agencies, but also alternative ways of buying and selling homes, such as internet-based property retailers. See http://www.primelocation.com/news/oft-to-investigate-estate-agents/

Homeowners who fall behind in their mortgage repayments because of a temporary financial crisis could be protected from repossession for two years, under plans announced by the Government. See http://www.primelocation.com/news/homeowners-get-new-lifeline/

The Bank of England’s base rate has been cut to its lowest level for over half a century, in a sign that policy-makers are worried that the property market and the wider economy are sliding further into recession. The Bank said its decision followed signs that inflation had fallen in October to an annualised rate

The fall in house prices has begun to level out, according to the latest Nationwide monthly survey. But it remains unclear how soon the bottom of the market will be reached. See http://www.primelocation.com/news/house-prices-set-to-fall-further-says-nationwide/