Docklands News

Homeowners are rushing to lock in five-year mortgages with a growing number of lenders offering cheaper loans. Banks and building societies are increasingly offering cheaper five-year deals with concerned borrowers jumping on the opportunity to guarantee their repayments with rates expected to surge next year. Nationwide is offering a two-year fixed-rate deal for people remortgaging with 40% equity at 4.04% with a £999 fee. A five-year deal on the same terms is at just 3.59%. Meanwhile, HSBC's two-year rate for borrowers looking to refinance is 3.99% against a five-year rate of 3.53% while Halifax is offering a rate of 3.59% for two years and 3.41% for five. Meanwhile, City traders are betting that the Bank of England's official interest rate will rise from 1.75% to 4.25% by March, which could send today's best mortgage rates 2.5 percentage points higher. 

The Daily Telegraph (05/09/2022)  

A £1bn masterplan for the Carpenters Estate in Stratford has been submitted to the London Legacy Development Corporation (LLDC), proposing to deliver thousands of new homes across a “left-behind” 23-acre site in east London. The outline plans submitted by Populo Living, Newham Council’s housing delivery company, envisage one of London’s largest-ever estate regeneration programmes, with 2,151 new homes built across the 23-acre site and more than 50% available for social rent. A total of 314 existing homes will be restored to ensure that some existing council tenants and homeowners can remain on the estate. The masterplan will now be submitted to the London Legacy Development Corporation. Phase one of the plan has already begun, with the refurbishment of James Riley Point securing planning permission in May, and will see the first 136 homes completed by 2025. The second phase will see the refurbishment of existing flats, with the full regeneration expected to be completed in the late 2020s.

Construction Enquirer (30/08/2022)   Inside Housing (20/08/2022)  

House buyers in London are ‘gazundering' sellers by demanding reductions to an agreed sale price just before an exchange is about to take place. According to property experts gazundering is gathering pace as the housing market slowly begins to respond to wider economic problems. The market is showing the first signs of cooling amid rising interest rates and the cost of living squeeze. London law firm Osbornes Law estimated gazundering was currently happening in around half of all house sales. It said homebuyers justify the last minute price reduction by citing an issue from a survey such as damp. Simon Nosworthy, head of residential conveyancing at Osbornes Law, said: “Price chipping is a sign that the market is weaker and that the pendulum of power is swinging from the seller to the buyer.”

Evening Standard (30/08/2022)  

Experts say UK house prices could fall by 7% in the next two years as mortgage rates soar and the cost of living crisis gets worse. With the Office for National Statistics last week reporting a sharp drop in annual growth and Halifax data showing that prices fell for the first time in more than a year in July, analysts at Capital Economics have forecast a two-year downturn, with house prices falling by around 5% in 2023 and a further 2% in 2024. The experts believe demand will fall as buyers see budgets and confidence hit by rising mortgage rates, high inflation and a potential recession. Andrew Wishart, a senior property economist at Capital Economics, commented: “Areas where house prices are highest relative to incomes are most vulnerable. London and the South East are therefore likely to see the largest falls and the North and Wales the smallest.” 

Daily Express (29/08/2022)   Daily Mail (29/08/2022)  

The government has begun its probe into the property-buying process. It is calling for evidence from estate agents, solicitors and mortgage lenders over the next eight weeks in an attempt to make buying a home "cheaper, faster and less stressful". The existing conveyancing process leaves sellers vulnerable to 'gazundering', when a property buyer lowers their offer just as contracts are about to be exchanged. Buyers also need to be aware of 'gazumping', when buyers who have already put down an offer are outbid by rival buyers. Meanwhile 'gazanging' is when sellers change their minds and decide to 'hang tight' - taking their property off the market part way through the sales process. 

Evening Standard (29/08/2022)  

Next month, Ballymore and Oxley will launch a collection of 42 waterfront apartments at Riverscape, following the successful launch of the new development on the edge of the River Thames last year. On Saturday, September 17th, they will unveil The Leslie in East London; set between Lyle Park to the west and Royal Wharf to the east, and a short walk from Pontoon Dock and West Silvertown DLR stations, the apartments are spread across 10 floors, with 21 one-bed, 14 two-bed, and seven three-bed homes. Defined by spacious open-plan living, generous kitchens, and expansive windows that flood each room with natural light, the apartments offer both a comfortable remote working space as well as room to entertain. The Leslie, scheduled to be complete between late 2023 and early 2024, is part of the Riverscape development, comprised of 769 new homes across 10 buildings, ranging from eight to 16 storeys. Prices start at £399,500 for a one-bedroom apartment. 

Property Wire (25/08/2022)