According to the latest report published by Land registry in the house prices in have fallen again in the month of April. The fall in house prices in April however is quite small as compared with other months where the prices have fallen.
After seeing a small improvement in house price in March, April has once again seen a decline in house prices, according to land registry. This time around however the house prices have only fallen slightly. The total decline in house prices was only 0.3% which seems insignificant compared to decline in house prices in many other months during the period of recession.
The average fall in house price in an annual period still remains at just over 16%. According to the Land registry in UK, which keeps a record of all properties sold in the UK, the market price of an average home in the UK was £182,557 at the same time last year. The same home will now be valued at only £152,898 according to house price index of April 2009. According to property analysts although house prices have fallen it is quite important to note that the rate at which prices are falling has remained fairly consistent over the past few months.
In a more recent report on house price index, published by Nationwide building society, average house prices in UK could have risen by 1.2% in the month of May. The may increase in house prices will make it the second increase in 2a 3 month period.
The recent reports on the property market in UK offer a positive indication and show that the downturn in the property market may be coming to an end. However in spite of the positive reports, property sales are still slow this year. The main reasons for property sales have not picked up is due to difficulties in obtaining property finance. Lenders and property finance companies are still being cautious with their lending and may continue to do so in the months to follow.
In spite of the slight improvements on monthly property figures and reports, the total decline on an annual basis is still significant and may require many months of continuous improvements before it changes. The total number of properties sold in a 3 month period still remains at lower than 40% as compared to the same 3 month period last year. Nevertheless the recent growth in the property market seen in the last 3 months show signs of stabilisation of the property market in UK.
“Despite the predictions and positive reports on a monthly level, many property analysts expect that the property prices will decline by a further 10% towards the end of the year. While some property analysts believe the market has already reached its bottom and can only grow form here, others believe that the bottom has not yet been reached. Some regions like London have started to see a small rise in house prices but many other regions are yet to follow. According to the Land Registry, in London house prices have risen by 1.2% in the month of April.
On an annual basis, average house prices have fallen in almost all regions including the capital. The monthly figures will need to continue for many months before the annual decline can be covered. Although its early to predict a downturn in the property industry, it will be fair to say that the market has finally started to show signs of stabilisation and an overall improvement may not be as far away as we think.
Property Sales in UK Highest in 18 Month Period, according to the recent property sales figures released by the National association of Estate agents. The last few months has seen more than one report that shows an improvement in the property market in UK. After many months of news and blog posts highlighting the downward trend in international as well as UK property market, it seems that good news for the property market has finally started to appear. While it is still early to expect the property market in UK as well globally to recover from continuous losses and declines in property prices over the months, any news or report that shows an improvement in the property market can only be good news for Estate Agents as well as hope owners. Recent news showing slight improvements in different areas of the property market has been welcomed by Estate Agents, Home owners and property investors.
The past few months has seen more than one report or news item that will of interest to property analysts. According to the National association of Estate Agents in UK, the houses sold by Estate Agents in the month of April has increased. According to the report, Estate agents in UK have sold more houses in April than in any month in the last 15 months. The new report by the National Association of Estate Agents is significant as the property prices in all sectors, houses and flats have been falling continuously month on month. Property sales figures across all areas need to increase repeatedly month over month before a full recovery of the property industry in UK is possible.
The report on houses sold shows an improvement for Estate agents who on an average have sold ten properties in April. This is up from an average of eight properties sold per Estate agent in the month of March. The figure had declined to its lowest point in the middle of last year when on an average, Estate agents only managed to sell five properties each.
According to the National Association of Estate Agents, the increase in property sales in April is only of the many positive indicators highlighted by recent studies and reports published across the UK. Combined with other reports published recently by various independent property analysts and groups, this is the most consistent improvement witnessed by the property industry since the beginning of the year.
Towards the end of last year, any improvement in the property industry seemed a distant future. The property industry had fallen to its lowest point. The demand for property ahs remained strong across the recession, however the consumer confidence had fallen to its lowest. The recent figures show that the confidence in the property market has started to rise.
Property prices have risen by 2.6 per cent in May, according to a recent report published by Halifax in UK.
House prices have now risen for two consecutive months in the UK. This is good news for the UK property market that has been hit hard in recent months. Although the 2.6% rise in average house prices is a positive sign for the property market, property analysts say that a down turn in the property market is still far and not in sight. a 2.6% rise in house prices happens to be the largest increase in prices in the last 7 years.
The report on house prices published by Halifax bank has warned not to out too much emphasis on one or two month’s figures even though the finding follows reports from estate agents that there has been a resurgence in buyer interest. According to Halifax who published the report marking the rise in house prices, even though the average price in the year can fall in spite of a rise in house prices in some months. For example during the 1991 and 1992 period, there were 5 months where the house prices rose. Nevertheless, average house prices fell by 11 % in that year. In spite of all this, this is still some cause for celebration as it can be seen as a tentative sign that the housing market has begun to stabilise.
A report by the Bank of England adds to the positive sign displayed by the housing market stating that there were 43,201 in mortgage approvals in April. This is the highest number of mortgage approvals in a one year period. There are many factors that can be attributed to this rise in house prices. Some property analysts believe that the price has risen because there is a reduced supply pf houses for sale in the market. House prices had fallen consecutively fr many months which has made property owners wary of selling property at such low rates. In addition to this many new property development projects have been postponed till the market improves.
At the same time property analysts also point out to the fact that in the 21 months, property prices have risen in only 3 of the months.
Some property analysts argue that although recently there may have been one or two positive indications in the property market, it is tool early to expect a down turn in the market. The overall economic conditions are still bleak and unemployment is set to increase further in coming months. Property finance is still harder to receive and lenders remain cautious. First time buyers are still finding it difficult to raise finance for buying property.
Save to Browser Favorites
Ask
backflip
blinklist
BlogBookmark
Bloglines
BlogMarks
Blogsvine
BUMPzee!
CiteULike
co.mments
Connotea
del.icio.us
DotNetKicks
Digg
diigo
dropjack.com
dzone
Facebook
Fark
Faves
Feed Me Links
Friendsite
folkd.com
Furl
Google
Hugg
Jeqq
Kaboodle
linkaGoGo
LinksMarker
Ma.gnolia
Mister Wong
Mixx
MySpace
MyWeb
Netvouz
Newsvine
PlugIM
popcurrent
Propeller
Reddit
Rojo
Segnalo
Shoutwire
Simpy
sk*rt
Slashdot
Sphere
Sphinn
Spurl.net
Squidoo
StumbleUpon
Technorati
ThisNext
Webride
Windows Live
Yahoo!
Email This to a Friend
If you like this then please subscribe to the