Direct Property News

The position of the purpose built rental accommodation sector in the UK’s property market could be strengthened markedly over the course of the coming years, after the government was urged in a new report to look at new ways of building homes to meet demand. The Confederation of British Industry (CBI) has published its new study looking at the government’s UK house building targets for 2020, and said that the way it has been looking to meet goals for some time are no longer fit for purpose.blue-print-image

During the winter, when the days are shorter, the house market is renowned for being quieter, as many sellers postpone putting their house on the market until the spring. However, this doesn’t mean buyers stop searching, so sellers should do everything they can to market their property in the best possible light.

1. £3.15 billion is being set aside for 90,000 new houses in London. Mayor Sadiq Khan welcomed the investment, the highest ever secured for housing by City Hall, but warned Londoners that they faced “a marathon, not a sprint”. The Mayor will use the cash for housing tenures, including those with below-market rents for low-income Londoners and homes with rents set at no more than a third of average local income for middle-income earners. In addition, there will be more shared-ownership homes to help Londoners who want to buy but can’t afford to on the open market. 2. £1.4 billion is being set aside to deliver 40,000 affordable homes. Again, there is little detail as to…

The UK Government has announced billions of pounds of new funding to boost the building of new homes and will encourage a wider spread of home types to buy and rent. Delivering his autumn statement, Chancellor Philip Hammond announced a £2.3 billion housing infrastructure plan to support the construction of 100,000 new homes in areas of high need. Hammond also announced a £1.4 billion cash injection which will help build 40,000 new affordable homes in places where first time buyers are being prices out of the housing market.

There is disappointment in the UK property industry that Chancellor Philip Hammond did not take on board calls for a change to stamp duty, the tax paid when a property is bought. In the run up to the autumn statement there had been hope that he might reverse the 3% additional stamp duty imposed earlier this year on additional homes which affected by to let landlords and second home buyers.

According to the latest report from CML, house purchase loans have increased in the capital by 12% on the quarter, but remain 16% down on the year. CML reported that home buyers in London took out 19,200 loans, worth £6.2bn, a 12% rise compared to the second quarter but down 16% compared to the same quarter in 2015. The value of these loans was up 15% compared to the previous quarter but down 14% compared to Q3 2015.