Housing Market Slows As Homemover Figures Slump

Valuations from home sellers have fallen steadily from 45% of the market in May 2010, down to just 27% in May 2017 as homeowners lack incentives to move, according to data from Connells Survey & Valuation. The research shows that a shortage of homes on the market, Stamp Duty impacts at higher levels and the extended economic uncertainty have discouraged homeowners. Conversely, remortgaging now represents 23% of all valuations – a 2 percentage point increase month-on-month and a record for May. Read more on the Financial Reporter website.

Drop In Buy To Let Valuations Over April

Buy to Let valuations dipped to 7% of market activity last month as the cut to landlord mortgage tax relief kicked in. The proportion of Buy to Let valuations is six percentage points below the five year average for April. Buy to Let valuation activity is even lower than it was in April last year – when the stamp duty surcharge was introduced. The decline in Buy to Let valuations has likely been driven by the stamp duty surcharge and the cut to Buy to Let mortgage tax relief. As of April, landlords can only offset 75% of mortgage interest payments against rental income – down from 100% in March. Read more on 24housing.

71% Unsure Of Right To Buy Purchase Price

Affordability remains a key issue in moderating demand for Right to Buy, says a new report. 71% of respondents said they did not know what the purchase price of their property would be, while 21% said they had a rough idea. The report, commissioned by the National Housing Federation and five participating housing associations, was conducted by the Centre for Regional Economic and Social Research at Sheffield Hallam University during 2016. It found regional variance in levels of tenant demand and property valuations, reflecting the different local markets in which the pilot was operating. Download the report from the Housingnet website.

Valuations Rise As Help To Buy Mortgage Guarantee End Looms

First time buyers in the UK are racing to beat the end of year deadline for the Government’s Help to Buy mortgage guarantee scheme, before it closes at the end of December, with more valuations being carried out. In September the number of valuations for first time buyers rose by 18.7% on an annual basis. Data also show that remortgaging valuation activity rose 14.7% year on year and despite huge turmoil in the buy to let market over the last 12 months, there has been such a large increase in activity in this segment of the market over the last two months that valuations are 0.4% up on last year. Read more on Property Wire.

First Time Buyers Boost UK Housing Market Activity

The UK housing market has reported healthy growth in March, on the back of a surge in first time buyer activity, new research shows. There has been a lot of talk about buy to let buyers flooding the market to beat Aprils extra stamp duty deadline, but the latest figures from Connells Survey & Valuation show that first time buyer activity in March jumped 15% compared to March 2015 and 41% compared to February 2016.In March, the total number of valuations carried out rose 8% year on year and grew by 21% month on month and this was primarily due to the first time buyer sector posting strong monthly and annual growth figures. Indeed the figures show that there was a dip in buy to let activity in March. Read more on the Property Wire website.

Council Houses Sold At 70% Under Their Market Value

Council houses have been sold off at valuations up to seven years out of date and at discounts bigger than those ever envisaged by Margaret Thatcher. Despite a deepening shortage of affordable housing, town halls have sold off more than 130,000 homes in the last decade at discounts of up to 70% of their market value. The price cuts have amounted to almost £4bn. Between 2012 and 2014, the London Borough of Tower Hamlets sold off more than 50 homes using valuations two or more years out of date, costing the public purse thousands of pounds on each transaction, according to data released under the Freedom of Information Act.  Including discount, the borough sold a one-bedroom flat for £42,000 when it was valued at £142,000. Read more on the Guardian website.

Buy To Let Surges in UK

May saw an acceleration in property valuations for buy to let landlords, while first time buyer activity has retreated, according to the latest research. There were 33% more buy to let valuations conducted in May than at the same time last year. Conversely, valuations for first time buyers declined by 4% over the same period, the data from Connells Survey and Valuation shows. On a monthly basis, May’s buy to let valuations were up 3% on April, while valuations for first time buyers fell 2% between the two months and the buy to let market is booming. Meanwhile, valuations for those existing home-owners looking to move to a new property posted a 4% increase since April. Read more on the Property Wire website.

Pickles Orders Councils to Publish Stock Valuations

Councils will be forced to publish valuations of their social homes from April, despite the majority warning that it would lead to ‘misinformed debate’.  Eric Pickles has accused councils of ‘sitting on millions’ which could be used to fund building work elsewhere. The communities secretary has ordered them to publish the most recent valuation of their stock annually, listing how much the properties are worth and how many are occupied. However, responses to a government consultation on the proposals, first announced in July, show the majority of respondents did not support the proposal. Read more on Inside Housing.