UK housing market prices have increased from 2.9% in May to 3.1% June 2013 due to higher employment and improving consumer confidence. The introduction of Help to Buy Schemes and Funding for Lending has also aided this increase. The Royal Institution of Chartered Surveyors have also indicated that this the fastest recovery rate since November 2006.
IHS Global Insight have analysed that prices will rise by at least 3% throughout the rest of 2013 with a further increase of 7% in 2014. This will lead to benefits for those who have already bought a property, however a setback for people who are struggling to join the housing market as prices increase.
The increasing property values are spreading beyond recent hotspots which will benefit a wider spread of home owners. This indicates positive news that house buying activity is increasing in more deprived parts of the UK.
The Council of Mortgage Lenders indicates that a rise in buy-to-let mortgages hit £5 billion in the second quarter 2013, an increase of 31% higher by value on the previous years. This news will benefit the rental market as more people will be moving from rented dwellings to home ownership. This will force landlords to offer more tempting rental figures compared to higher rental prices over past few years.
The economic news has given a mixed reaction between confident home owners boosting high street sales to buy consumables for their home, with home owners doing the opposite action of using their earnings to pay off debt. Recent figures show homeowners put £8.8 billion more into their homes than they extracted in the last quarter of 2013 compared with last quarter of 2006 when people borrowed £12.6 billion more than they paid back. These figures indicate positive signs for a long term economy.
The UK housing market is now showing a positive result that is stronger than ever.
Considering the positive signs of the UK Housing Market it is not necessarily the same in Northern Ireland therefore you have the option of improving and investing in your current home. If you require any assistance with upgrading your current home contact us on 02890 692 444 for all your home design needs.