Docklands News

The average UK house price increased by over £2,200 in July compared to June, following three months of little change, according to Halifax's index. Property experts are optimistic about the housing market, citing the recent interest rate cut by the Bank of England as a potential boost. Amanda Bryden, head of mortgages at Halifax, stated that the average house price in the UK is now £291,268, with an annual growth rate of 2.3%. In London, the average house price was £536,062. Affordability constraints and a lack of available properties continue to pose challenges for prospective homeowners. However, with lower mortgage rates and potential further rate reductions, house prices are expected to continue a modest upward trend. 

BBC News (07/08/2024)   Evening Standard (07/08/2024)   The Daily Telegraph (07/08/2024)   The Guardian (07/08/2024)  

According to Skipton Building Society analysis, nearly 80% of potential first-time buyers in the UK lack the savings needed for a deposit in their local area. The research also found that only one in eight potential first-time buyers can afford to purchase the average first-time property in their area. Additionally, nearly four in 10 renters spend 45% or more of their income on housing costs, making it difficult for them to save for a deposit. London was ranked as the most unaffordable city for both renting and buying properties, while Scotland was the most affordable.  

The Independent (03/08/2024)  

Brokers have stated that following Monday's volatility in the US stock market, mortgage rates in Britain may begin to decline more quickly. Brokers estimate that before the end of the year, borrowers may see mortgage rates as low as 3.5%. Currently, Nationwide and NatWest both offer mortgages with rates under 4%. Worse-than-expected US manufacturing and employment data has triggered a Wall Street meltdown and increased pressure on the Federal Reserve to reduce rates sharply in order to prevent the country from entering a recession. The Bank of England economists reduced the Bank Rate last week, from 5.25% to 5%, marking the first decrease in four years. NatWest has responded to a cut in the base rate by offering a five-year fixed rate mortgage at 3.97%, which is the lowest rate on the market. Other lenders, including Virgin Money, MPowered, Halifax, Leeds Building Society, and Skipton Building Society, have also made reductions.

Daily Mail (06/08/2024)   The Daily Telegraph (06/08/2024)  

Housebuilders have welcomed Labour's plans to build 370,000 new houses, but questions have emerged over whether the industry has the capacity to meet these targets. The last peak in housebuilding was in the 1960s, with just 189,000 homes built last year. Labour plans to reintroduce mandatory top-down housebuilding targets for local authorities and force councils to build on the grey belt. However, the construction industry is facing a skills shortage, with 55,000 vacancies and an ageing workforce. Brexit has also led to a loss of EU workers in the sector. Construction apprenticeships are not filling the gap, and the industry needs to provide more secure work and longer contracts. Steve Morgan, founder of Redrow, noted that two of the country's largest brick makers had mothballed some of their kilns. "You can't just go down to Tesco and pick up bricks. It takes time . . . You can't turn it on like a tap." Barratt chief executive David Thomas predicted that in the first two years of the Labour government, between 180,000 and 200,000 homes would most likely be built, before a surge in the latter half of the parliament. 

The Sunday Times (04/08/2024)  

Newham is the most popular place in London for buying a first home, with 77% of all property purchases in the first half of the year coming from those taking their first step on the housing ladder. Buyers paid an average of £388,170 for a property. The most popular streets in the area were Earlham Grove in Stratford, Silvertown Way in Canning Town, and Gallions Road in Beckton. Barking & Dagenham followed Newham, with Thurrock - technically in Essex - taking third place.

Time Out (01/08/2024)  

The latest figures from HMRC have revealed a surge in UK home sales during June. There were an estimated 91,370 property transactions, which is an 8% increase compared to the same month last year. However, there was a slight dip of less than 1% from May 2024. Despite this, industry experts remain optimistic about the market's recovery. Iain McKenzie, CEO of the Guild of Property Professionals, commented that a month-on-month decrease is nothing to worry about and the market still shows strength compared to the previous year. Meanwhile, Kevin Roberts, managing director at Legal and General Mortgage Services, remarked on the market's stability through June and July, with buyers showing resilience amidst General Election speculation. 

Evening Standard (31/07/2024)   The Express (31/07/2024)   The Independent (31/07/2024)   The Mirror (31/07/2024)