Property

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.

Moving house can be an incredibly stressful and expensive time, and it seems that more and more people are opting to improve their homes instead of upping sticks and moving to a different house.

FinanceLocator.co.uk

It is getting more and more popular to improve your home than actually move house.

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.

Alistair Darling, Chancellor, has delayed the announcement of upcoming changes to Capital Gains Tax (CGT). In his pre-budget report, the Chancellor revealed he would be changing the CGT system.

The original tapered relief rules will instead become a single flat rate charge of 18%. Good news for some, not so for others.

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.

The Motley Fool has 5 of the worst mistakes you’re likely to make when buying your new home. The UK housing market is wobbling at the moment, due at least in part to 5 interest rate rises since August 2006. Cliff D’Arcy at the ‘Fool has identified a few traps for would-be homeowners.

Here are the one-liner tips:

1. Buying in the ‘wrong’ area
2. Not putting down a deposit
3. Borrowing too many times your salary
4. Choosing the ‘wrong’ mortgage
5. Buying at the top of the market

Read more at the Motley Fool website here