A video on looking at the problems of the UK Housing Market. Why House prices are falling. Why is it difficult to deal with falling house prices.
UK House Values
UK house prices continue to fall. In the month of August house values fell by nearly £5,000 to £164,654. The decline in house prices is linked to the shortage of credit in the mortgage markets, but, also reflects a fundamental long term misalignment of house value. House prices have risen faster than earnings as people [...]
houseprices.co.uk | Guide to UK House Prices
There are various measures of tracking house prices in the UK. There are several different house price surveys that give different perspectives on the state of the housing Market. It can become a little confusing because almost every week, there will be 2 or 3 different surveys, giving a different figure for average house prices. [...]
UK House Prices Slump
Data from the Nationwide suggest that house prices are falling at their fastest rate since 1991. Average house prices have dropped from their peak in July 2007 and look set to fall further. The main reasons behind the housing slump include; Freezing up of mortgage sector. Banks saddled with bad detbs are unwilling to lend [...]
US House Prices Slump
US House prices have slumped on the back of more problems in the credit markets. The drop in house prices is not the biggest fall since the Great Depression, and in some cities it is even worse. Despite interest rates of 2%, the demand for houses has dried up due to: rising unemployment Falling availability [...]
History of UK House Prices Real and Nominal
UK House Prices Between 1975 and 2007 Q4: Nominal House prices increased by 1,672% or £174,000 Real terms house prices increased by £119,085 or 164% Note there is a much bigger change in nominal prices than real prices. It also means that with house prices falling now, the real effect is even greater. If house [...]
How Would Recession Affect House Prices?
There are concerns that the UK could enter into recession. If this is the case, it would further weaken the UK economy. A recession would lead to higher unemployment and lower consumer confidence. Both these factors would have a negative impact on the Housing Market. Because housing costs are such a large % of income [...]
The Effect of Second Homes on House Prices
Rising demand for second houses has caused higher prices, especially in local property hotspots such as tourist areas like the Lake District. This can cause economic problems. In particular, local first time buyers may be forced out of the market. Therefore, they will either have to rent, or they may be encouraged to leave the [...]
Why are UK House Prices Falling?
1. There is a shortage of Mortgage Finance. This is probably the biggest factor at the moment. Since the credit crisis of 2007, when many US subprime mortgages were defaulted on, there has been a shortage of available finance. Because banks lost money lending in America they are reluctant to lend to new homeowners. British [...]
Mortgage Implosion in UK
The term mortgage implosion refers to the dramatic decline in the number of mortgage approvals in the UK and other countries affected by the housing downturn. Upto June 2007, the mortgage lending market was very competitive and lenders eager to attract customers through offering non traditional mortgages such as interest only, low deposit mortgages and [...]
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