Reported Increase to Average House Prices in UK – 15%

Average property values are rising, with the South East already seeing 15% growth this year.

According to the latest figures from Rightmove, the average price of UK property coming onto the market in June was 1.2% (+£2,957) higher than May, passing £250,000 for the first time ever.

London set a new record, with the average asking price of property in the capital rising to £515,243, but the South East recorded the strongest growth, increasing by 14.8% since January to hit £329,968.

Rightmove recorded strong growth in asking prices in all regions, with asking prices in the North, North West, Yorks & Humber, East Midlands, West Midlands, and Wales rose by 9.2% , almost keeping pace with the 10.6% seen in the south (Greater London, South East, South West and East Anglia) over the first half of the year.

It believes these results are a reliable indicator of growing confidence in the UK economy.

Property Investor Market on the Increase

The property investor sector of the UK market is continuing to grow, with gross buy-to-let lending up 14 per cent year-on-year in the first quarter of 2013 (figures from the Council of Mortgage Lenders). BTL growth

Around £4.2bn was advanced in the first quarter, compared with £3.7bn in the first quarter of 2012.

BTL lending accounted for 13.4 per cent of total outstanding mortgage lending in the UK – up from 13 per cent in the fourth quarter and from 12.9 per cent by the end of the first quarter of 2012.

With relatively stagnant property prices and considerable rental demand, many property investors are adding to their property portfolio. There has been a helping hand from Mortgage Lenders also, who are showing confidence in the market by offering very competitive deals and also easing some key criteria points to attract more applications.

Two recent key changes come from BTL lending stalwarts, being TMW and BM Solutions. TMW have now made their standard range of products available to first time landlords, a positive change from restricting first time landlords to higher rated products as they did before. And BM Solutions have removed their minimum income requirement meaning that an experienced landlord can apply for a mortgage without meeting the previous requirement of £25,000 minimum annual income.

To discuss your BTL requirements, please contact a member of the team at Harvey Bowes on 029 2115 6918.

YOUR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE

BM Solutions joins other lenders in lifting minimum income requirement for BTL mortgages

Bm Solutions has announced it is lifting the minimum income requirement on but to let mortgages. In this respect BM Solutions has fallen in line with The Mortgage Works, Kensington, Aldermore and Precise who all have no minimum income requirement for property investors (from lender to lender the criteria of what qualifies for the no minimum income requirement does vary).

This is another positive sign for the BTL industry. With competition between lenders in this arena increasing, the criteria is becoming a little more relaxed, which is great news for the industry.

For further details, contact an advisor at Harvey Bowes today on 029 2115 6918

 

YOUR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE