Property Rescue Blog

News released this month was a further blow for homeowners wanting a fast property sale. National Statistic’s figures show 2.22 million officially unemployed (a rise by 244,000 in the first 3 months of 2009) shrinking the market looking to buy and increasing the number of properties up for a quick house sale.

For those looking for quick house sales, it seems another house price index comes out every week. Here is a quick description of the main 4 indices, useful for those wanting a quick home sale.

The increased need for a fast property sale in London has led to a fall in the average asking price of 0.4 percent since February according to Prime Location.

There’s been some good news at last for those seeking quick house sales or wanting to sell their property portfolio.

New blow for those wanting a fast property sale with latest negative equity figures announced.

Homeowners increasing look  to alternatives for a fast property sale.

House prices in England and Wales fell by an average of 13.8% last year.  There are conflicting opinions on how the property market will fare as the recession deepens, although it is certain that substantial gains are out of the question.  Anyone embarking on the property ladder for the first time or trying to sell their home is in for a bumpy ride.

The 2008 price fall was the biggest drop the market has seen, even outdoing the famous 1932 depression.  Some parts of the country fared better than others with Wales only seeing an 8.6% drop, while the South West saw almost double that as a massive 15.6% was cut off the value of their homes.

The practice of taking out equity in the home, or re-mortgaging, has almost come to a halt as lenders become more cautious and homeowners are unsure as to what their property will be worth in a year or two’s time.  But is this caution justified?

On the one hand the signs that property values will fall further seem strong.  They include factors such as:

-    a worsening recession
-    an increasing number of company bankruptcies and personal insolvencies
-    a rise in the jobless figures
-    a lack of availability in the mortgage market
-    a belief that property was over-priced and still has some way to fall before it     achieves realistic values

The other side of the argument points to more positive signals, including:

-    a steady rise over the past six months of people wanting to buy
-    a bottoming out of the housing market, prompting people to buy now
-    a strong message from the Government that lending needs to start again
-    low interest rates, making mortgages more affordable

In fact, the situation is so complicated that two of the biggest lenders, Halifax and Nationwide, have declined to predict how the market will perform this year.  Likewise, the Council of Mortgage Lenders is not putting forward an opinion, arguing that there are too many unknowns to make an accurate forecast.  The most pessimistic commentators see prices falling continually through 2010, 2011 and even into 2012, but many others think that the economy as a whole will start to come out of recession during 2010 and therefore don’t agree with such a gloomy outlook.

People who need to move house are in an awkward situation.  How much is their property worth?  Is that figure going down or is it stable?  What’s the likelihood of finding a buyer, and will that buyer be able see the deal through to its conclusion?

There are so many unknowns in property sales even when the market is buoyant.  It is good to know that there is a way of selling your property regardless of the state of the market, and that is through Property Rescue.  They promise to give you a valuation for your home which, if you accept it, will lead to a guaranteed sale.

For information on how to sell your home fast, contact Property Rescue.

It’s that time of year when we all become frazzled with the chores of Christmas, the biggest of which is undoubtedly the Christmas shopping.  Finding original presents for everyone can be a real nightmare and when money is tight the whole task is even more fraught.

Shops are reporting that trade is light this year – no surprise in view of the state of the economy and people’s fears over job losses.  Those who have been unlucky enough to already lose their jobs will be looking to cut costs wherever they can, whilst others, such as the thousands employed by Woolworths, will be looking to the future with trepidation.

It is tempting to put the Christmas purchases on the credit card and worry about the bill later, but the income of many households has fallen and cannot be compared to this time last year when we were all spending more freely.  Those who have been unable to keep up with repayments on their credit cards will find that the interest will mount up considerably and if the debt cannot be controlled, interest will become payable on the interest.

Of course, the best policy is to use cash, not credit, for Christmas shopping.  But when we do use credit cards, keeping interest payments under control is something we all should try to do.  The nought per cent deals are few and far between, but it’s still worth shopping around to make sure you are not paying more than you have to. 

Bad debt will affect your credit rating and this will make it difficult to get future loans or credit.  If debts threaten to get out of control you need to take action.  Working out your monthly or weekly budget is always the first step and there are free services that will help you do this.  Be honest with yourself about how much you spend each week – even slight changes to your lifestyle can mean that you make savings.  Being aware of what you spend and how you spend it is a key part of controlling your outgoings.  It may be possible to manage your debt by agreeing to pay off smaller amounts of your loan or extending the time period over which repayments are made.  Always talk to your lender(s), as ignoring letters and phone calls will only make your situation worse.

Financial advisers generally regard bankruptcy as very much a last resort.  In some cases it is unavoidable but it is not a ‘soft option’ and has many repercussions.  One way of reducing or eliminating your debt could be to sell your home.  This may seem a drastic step, but with sell and rent back agreements you could stay in your home as a tenant rather than an owner.  Make sure you know all the terms of the contract before you sign up to any such scheme, and deal with a reputable company such as Property Rescue.

For information on sell and rent back, contact Property Rescue.  One of their advisers will talk to you in complete confidence and without obligation.

The Bank of England released its latest inflation report this week.  All eyes were on the Bank’s governor, Mervyn King, as he delivered the bad news that had been anticipated – that inflation is up (currently at 4.4%) and is likely to go up yet further, peaking at around 5%.

Mr King described the situation as “painful”; no under-statement for the thousands if not millions of people who are just about managing to make ends meet whilst they live in fear of inflation rising yet further.  For these households there were few rays of hope n the bank’s report.

Output growth has slowed in the UK over the first two quarters of the year.  When figures are released for the third and final quarters, the Bank of England expects to see further slowing and little change during 2009.  But there is a caveat: the Bank says that the slowdown may be “more pronounced” with the possibility of negative growth. In fact Mr King comments that the “outlook is unusually uncertain” and points to significant risks that could affect its projected figures.

It is inevitable under such circumstances that pressure is put on every household’s income, even those who have, until recently, considered themselves well off.  There is evidence that up-market suppliers of products – such as organic or farm produced food – are seeing a drop in their sales as people look to the cheaper supermarkets for a bargain.  Oil prices have started to retreat back down the scale but food costs are unlikely to do so.  Spending on credit is restricted and this has an obvious effect on spending in the high street.

Bank rates remain at 5%, despite industry wanting a cut and homeowners feeling the strain.  Although it is often high interest rates that produce a rise in home repossessions, in the present situation it is more likely to be food and energy prices that are turning the knife in the household budget.  Repossessions are rising steadily – perhaps an inevitability in such circumstances.  But anyone who faces the threat of losing their home owes it to themselves and their family to explore all the options before packing the furniture and moving out.

Talking to the lender in question is always the first step.  Voluntary and government funded agencies can help households budget, prepare payment plans and communicate with mortgage companies and banks.  If, despite this type of intervention, mortgage repayments simply cannot be met then there may seem little option.  Property Rescue is a company that buys home for cash.  They have the ability to step in at the last moment to salvage the situation and help avoid repossession taking place.  Their guarantee of a sale allows families to move on with their lives, perhaps buying a lower priced property, living in rented accommodation, or by taking advantage of the Property Rescue sell and rent back scheme.

The economic gloom that has descended on the UK may be out of our control but there are options when it comes to personal finance – even though it may not always seem like it.  For information and a free, no obligation chat, give Property Rescue a call.

A rather surprising side effect of the current economic slowdown is that the numbers of couples getting divorced has dropped by about 3%.  It seems that people who would like to sell the family home and move on to a new life find they can’t sell and therefore can’t divide up their assets.

It’s not known how many couples are affected; regardless of what the economy is doing it’s always difficult to sort out fundamental truths about relationship breakdowns from the mass of statistics.  But however we look at it, the fact is that many people getting married today will not spend the rest of their lives together.  The peak age for divorce remains the late twenties – a time when career and family start to make demands and, perhaps, when people drift apart in order in an attempt to fulfil their goals.

Regardless of the causes or numbers of divorce in this country, every one of the statistics hides a relationship breakdown that is almost always accompanied by pain and unhappiness.  For the unfortunate few who find themselves in a broken relationship yet trapped within the same four walls as their partner, the situation must be intolerable.  Re-establishing boundaries and re-creating a new life are both important parts of getting back on solid ground, emotionally, following a divorce, and it must be almost impossible to do either when your former partner is present on a daily basis.

In a market where homes simply aren’t moving off the estate agents’ books, is there anything that couples can do to move their situation forward?  Property Rescue offers a service whereby they guarantee to make an offer for any property, in any condition, in any location throughout England and Wales.  If the sellers accept that offer, the sale will go ahead quickly without any risk of it failing at a later stage. 

The amount Property Rescue offers will be below the market value, but with house prices continually falling, this is not always a significant factor.  Moving out of the family home, dividing up the assets and moving on are often the most important considerations.  Selling your home fast through Property Rescue offers other money saving incentives such as no estate agent fees, no Home Information Pack preparation and the regular legal costs on the sale are included. 

If you are feeling trapped by the property crisis and an emotionally fraught relationship, give Property Rescue a call.  They will talk to both you and your ex partner – individually if you wish – so that you can get all the information you need to make your decisions.   Give them a call today and talk to one of their advisers in complete confidence.