Homebuying

As new mortgage approvals hit the lowest levels since records began in 1990, we are now also seeing a further drop in the value of houses across the UK.

Halifax have reported figures are now down by 0.9% - however the average house price is still a  staggering £189,00.

Well, it looks like the borrowing boom of 2006/2007 is well and truly over in 2008.

First Direct Bank and the Skipton and Derbyshire building societies have all declared this week that they are no longer taking any new customers seeking a mortgage or remortgage.

At present Stamp Duty is applicable on all houses over the value of £125,000.

The average cost of stamp duty for first time buyers has increased by about 82% in the past 6 years.

The latest news according to Halifax’s details is that the price of houses is on a continual fall at the moment. And being the largest mortgage lender in the UK, they should know.

Prices of houses continue to fall month by month and are presently down by 0.3%.

It seems a bit unfair that people that aren’t married or in a relationship are singled out of the property market.

It is so hard to get a mortgage for houses today that are very expensive compared to the average persons salary in the UK.

I read in the latest news reports that at the end of December 2007, the number of mortgages being approved had dropped to 73,000, that’s the 7th month the rates of mortgages being taken out has dropped.

FinanceLocator wonders:

Whilst approval rates are dropping, could it just be that many people are opting to stay put or rent until the whole market settles down?      

Many people are being faced with an increase in the cost of arrangement fees, the fee that banks charge for arranging a mortgage.

However we weren’t prepared for Abbey’s massive arrangement fee costs - a whopping £9,999.

Financial experts involved in the property industry are setting their predictions for how house values are going to be affected in 2008.

Whether it makes the house buying and selling process easier, or maybe it just adds a bit of appeal by creating some change to the proceedings, Open House is starting to catch on in the UK.

A flat pack housing scheme is about to be offered to those on low incomes in Tyneside. These Bo Klok homes are a Scandanavian design and the pre-fabricated houses will start at £99,500 and go up to £150,000 depending on whether you go for a flat or townhouse with up to 3 bedrooms.