Property Rescue Blog

In discouraging news for struggling homeowners, The Nationwide have warned that price increases that have happened lately probably will not continue at their current rate. This is particularly true if additional properties enter the market.

Although consumer debt - including debt from credit cards and personal loans - fell by £300m last month, mortgage loan debt increased by £1bn in August. Lending is expected to remain slow due to the weak economy and the lowered ability to lend in general.

Although certain market conditions have improved a bit in recent months, it is important for people in the UK to realise that activity won't return to normal until building societies and other kinds of lenders have mortgage funds available to them.

A chain reaction of sorts is happening right now in the UK, as building societies who are only able to offer their savers low rates of interest are then inhibited in their ability to lend cash to prospective home buyers.

A new report from HM Revenue & Customs (HMRC) indicates that the first drop in home sales for the year occurred from July to August. 87,000 homes were sold in July, but only 83,000 sold in August. Due to the credit crunch, the housing market is still tumultuous and home sales are unsteady.

Despite recent news suggesting that the UK is beginning to get out of the recession, the Bank of England has held interest rates at a very low 0.5% for the sixth straight month, warning that recovery will be slow, long and drawn out.

Recently, the Council of Mortgage Lenders (CML) announced that since last year, the six top mortgage lending companies dominate the market, accounting for 78% of business; last year, the top six accounted for 72%.

In this market of fewer fast house sales, repossessions are increasing.  Before taking back your home, a lender must prove a few things during a repossession hearing.  

The highest number of mortgage approvals in the UK in fifteen months happened this past June; 35,235 mortgages were approved for purchasing new homes. This would seem to signal that there is hope for people who want to sell home fast.

News from OFWAT that water bills in England and Wales will increase about 4.1% in the year from April highlights the rise of many bills in general lately. Car insurance premiums have sharply risen, and the new water bill rates will cost the average UK customer an extra £13 per year.