Borrowers In Southern England ‘Face Increasing House Costs’
Keywords: house, prices, soar, loans, home, secured, personal, southern, england
Property in the Greater London region has surpassed the 300,000 pounds barrier for the first time, new figures indicate.
According to the latest Halifax House Price Index, the average home in the capital and surrounding towns rose to 313,122 pounds during the second quarter of 2007 - a figure which was mainly contributed to by the strength of London’s economy. With property in the area said to have seen the largest price increase over the last 12 months (18.4 per cent), the typical house is now beyond the new inheritance tax threshold of 300,000 pounds.
Meanwhile, property buyers in the south-east of England were also said to be facing pressure on their finances. As a result of homes rising past the 250,000 pounds stamp duty threshold to an average of 250,904 pounds, consumers are now liable to pay the three per cent levy on the value of their home. Consequently, buyers during the second quarter of this year would have to shell out 7,797 pounds in stamp duty - some 5,302 pounds higher than that noted over the course of the preceding quarter.
Commenting on the figures, Tim Crawford, senior economist for Halifax, said: “The typical homebuyer in London and the south-east, in particular, faces a rising tax burden due to the government’s continuing failure to increase the inheritance tax and stamp duty thresholds in line with house price inflation. We call on the government to raise the stamp duty thresholds and the inheritance tax threshold in line with past increases in house prices over the past decade. We believe the government also should commit to index link all property related tax thresholds to house price inflation in the future”.
Figures from the financial services firm also revealed that between April and June homes in the north of England exceeded the 150,000 pounds price limit. With the typical house in the area now at 155,188 pounds - only Scotland and the Yorkshire and Humber region were now said to cost less than 150,000 pounds. Although decreasing price rises over the second quarter were noted in the West Midlands, Wales and the south-west, overall Halifax suggested that the affordability of property is becoming an increasing concern among people across the country, “particularly for first-time buyers”. Northern Ireland was highlighted as a specific area of growth with homes in the principality up by 46.7 per cent over the last 12 months to 228,790 pounds.
Oliver Gilmartin, senior economist for the Royal Institution of Chartered Surveyors, claimed that as London becomes an increasingly “property rich city state”, consumers could be set to develop further difficulties making secured loan repayments. “With house prices continuing to rise in the capital, first-time buyers will struggle to access the market and with rents on the increase, would-be buyers will labour to afford the upfront buying costs”, he said.
Last week, Stuart Law, managing director of Assetz, claimed that first-time buyers and those renting property are the “main losers” following the Bank of England’s decision to raise the base rate in July - the third increase to take place this year. He reported that borrowers are increasingly unable to buy property as house prices continue to rise despite the Bank’s moves.
Abbi Rouse writes for 1 Stop Finance Shop. A one stop shop for all your bad credit loans, debt consolidation loans and loans news.Visit Today: news.1stopfinanceshopuk.biz
Previous Articles Highlighter:
Finance - How To Keep Up Monthy Payments (1)
Once you have created your list make a new one but this time prioritise it so that the most important and urgent items are at the top and will be paid first.
UK Loans Cheapest In The World (2)
Information about fees is easier to obtain in the UK, Finland and the Netherlands than it is in any other country, with consumers in Germany, the USA and France facing the toughest task to find out about bank fees and interest charges.
Read The Fine Print In Equipment Lease Contracts (3)
If you haven't done so already, this is a good time to call your accountant to help you make the best possible deal and to understand it. Provisions for early termination, early buyout, subleasing and assignment protect lessees.
Britons Must 'Learn' To Cut Spending As Interest Rates Predicted To Rise (4)
Commenting on figures revealing that Britain's GDP is to rise by 2.9 per cent over the course of this year David Kern, economic adviser for the British Chambers of Commerce, claimed that consumers could be set to face further pressure on their finances as the Bank looks to raise the base rate further.
Settlements, Notes, And Lotteries OH MY (5)
Structured Settlements: A cash structured settlement occurs when an insurance company provides small schedule payments resulting from the settlement of a personal injury lawsuit or claim settlement. This type of monetary package was first introduced during the early seventies in Canada and then spreading quickly to the United States, Australia and Europe.
How You Can Make Money Trading Forex While Working A Day Job (6)
If you have two really good setups in one week and you don't know which one to take just take them both but use half of your normal risk per trade on each.
Accounts Receivable Factoring- An Alternative To Bank Financing (7)
No tax returns, financial statements, business plans, or projections are needed. 7. No personal guarantees. The company principals do not have to personally guarantee the repayment of the funding.
Studying Student Loans Consolidation (8)
Those who look into student loans consolidation will discover a wide range of potential interest rates. These rates can be as low as 4.7% or as high as 8.25%.
Facts About Credit Cards Debt (9)
college graduate starts post-college life with more than $2,000 in credit cards debt. This slippery slope leads to loans for debt relief, which tend to make matters worse. The best way to avoid the pitfalls of the little plastic card is to budget appropriately and to focus on one's expenses.
Loans Consolidation Debt As Finding Your Answer (10)
Bad credit situations can become a nightmare but need not be. Enrich your knowledge about loans consolidation debt from Mike Selvon portal at debtconsolidation.mininicherecommends.com and let us know what you think by leaving a comment at www.mynicheportal.com
Surviving Mounting Medical Bills (11)
He or she should be able to give you access to dozens of loans that would suit your budgets. Whether you want a loan with a long tenure or one with a low rate of interest, there will be a loan to suit your needs.
The Advantages Of Debt Consolidation Loan (12)
One of the most appealing advantages to consolidating a debt consolidation loan is that it makes paying back your debt a simpler process. Instead of a number of debts to pay, all with different due dates each month, consolidating debt allows one payment per month.
Bad Credit Consolidation - The American Way? (13)
If you have ever encountered the demise of finances due to credit problems, you know that it is a slippery slope. It begins by missing one or two payments.
How To Find A Credit Card Debt Settlement Solution That Works For You (14)
Be reasonable, when you see ads that promise they can help you settle your debt in one day, overnight, etc. you must realize that these claims are simply not true and companies that use these tactics are not the type of help that you need.
Announcing How To Monetarise Stock Broker Career (15)
In air fare deals, at least market does not change in a span of thirty minutes. A strict vigilance and ability to predict market movements helps in the long run in a stock brokerage.
Celebration, Jubilation, And Renovation (16)
Keywords: secured loans, home improvement loans Weddings are a time of great celebration for everybody. It is a wonderful sight to see your own son or daughter decide to tie the knot with their partner.
Investing In An Investment Plan (17)
These days, banks encourage house-buyers by giving them all kinds of loans to fund their investing in a house. Decide on the house that you want, check out the available loans, sign on the dotted line, and you will have a great investment to stand you in good stead.
Making Cold Calls Count (18)
And most cold callers refuse to let go of the phone lines unless you tire of being polite and bang the phone down on his ear. The business of cold calling requires a cold caller to get accustomed to phones getting banged on his ear.
FAQ's From Business Buyers (19)
Will you hold financing for the purchase of the business? Will you be willing to stay with the business for a period of time after the sale? Will you agree to a covenant not to compete?
Money In A Whole New Avatar (20)
However, these days, with the rise of things like cash back credit cards and 0% balance transfers, people have acquired a new attitude towards credit cards. It is no wonder that credit cards are slowly taking the place of the paper currency that had been the standard till very recently.
Newer Articles Highlighter:
Introduction To Mutual Fund Investing (1)
If you want explosive capital appreciation, then you should consider a high-risk common stock or high-yielding bond fund. They are different than stocks when it comes to fees and expenses.
Families Borrow Big Despite Economic Pressures (2)
"But British families continue to borrow big and spend bigger which confirms this reality just isn't hitting home. It's only really thanks to recent economic growth and lower utility prices that we've seen even a mild improvement in the predicament facing households".
Forex Trading - Keeping Disciplined On The Forex Market (3)
He is a very cunning animal and has the ability to create brilliant strategies, but unfortunately every new strategy he tries, he always seems to get pricked by the hedgehog.
Invoicing Methods And Factoring (4)
By setting these milestones, the customer is obligated to pay for the work to that point and you can generate an invoice for that part of the goods or services.
Alternative Student Loans For Bad Credit Can Make The Difference (5)
In these cases, students will need to find out sources for alternative student loans for bad credit, and will end up paying higher interest rates. In many cases such loans have different and more challenging repayment schedules, often starting with immediate effect, rather than a more typical deferred period.
Debt Consolidation What Is The Correct Amount Of Debt? (6)
Naturally, lenders and credit card companies are more than happy to make available as much money as they think their borrowers will repay. The lenders and credit card companies take risks, but those are calculated risks.
New Tax For Andorra (7)
'While there is a large disparity between Europe's top two tax havens - Monaco and Andorra - in property prices, the advantages of buying a property in Andorra, gaining residency and having no income tax far outweighs any capital gains taxes', they say, pointing out that Andorra prices are a quarter of those of Monaco's.
Overcoming The Myths Of Receivables Factoring (8)
Keywords: invoice factoring, accounts receivable factoring, working capital, cash flow, receivables funding If a company is either in a high-growth mode or is experiencing serious cash flow issues and is not able to establish a working line of credit with a bank, why wouldn't they turn to invoice factoring?
3 Things To Look For When Purchasing A New Florida Home (9)
Potential pitfall number two: Realtor remorse A Realtor can, quite literally, make or break your Florida home buying experience. This is why it is so important to take your time when selecting a Realtor.
Debt Consolidation Using The Snowball Procedure (10)
With the majority of interest rates, the lower debts will clearly get paid off initially, but in the meantime you are making high monthly payments that takes great willpower every month.
The Little Secret About Bonds (11)
However, you should also take into account the risk factors we have covered. Your portfolio should contain a mix of corporate, federal, municipal, and even junk bonds (there is always a default risk associated with junk bonds, but they pay a huge interest rate).
Figures Offer Contrasting Pictures On Mortgage Lending (12)
Last month, figures from Moneyextra suggested that remortgaging was growing in popularity in the UK, with a 7.19 per cent rise in the borrowing method noted year-on-year. Abbi Rouse writes for Loan-Arrangers .co.uk where visitors can compare loans online.
Free Home Foreclosure Listing: Valuable Information? (13)
Granted, finding foreclosed properties on your own can take hours of research. This may make a free home foreclosure listing look like an easier alternative. But even with a free listing, you will have to browse through the countless national listings to find listings in your area.
'Less People' Switching Financial Suppliers (14)
The reality is that consumers are battening down the hatches in preparation for a rough ride as the mortgage becomes more expensive and disposable income reduces. It seems we're all taking stock of our finances - and perhaps switching is an unwelcome distraction in the current climate".
Debt Ridden Brits Reside In Overdrafts (15)
Figures from moneysupermarket have revealed that ten per cent of working consumers are permanently overdrawn. Some 2.1 million borrowers rely on the overdraft limit of their current accounts to meet day-to-day costs, while ten million Britons have slipped into the red at least once over the course of the past year.
There Is No Due On Sale Jail (16)
Keywords: due on sale clause, preforeclosures, foreclosures, make money in real estate, short sale courses The "due-on-sale" clause is probably the most talked about, feared and misunderstood topic in real estate.
Tracker Mortgages Could Be 'Attractive' Choice For Borrowers (17)
She claimed that choosing such an option is effectively "a long-term gamble on rates" as changes in government policy and economic climate could shift dramatically over such a period of time, leaving consumers with potentially unnecessarily high mortgage repayments.
Fall Noted In Property Price Growth (18)
He added that there is a "very strong possibility" that the MPC is to increase the base rate to six per cent over the coming months. In turn, Mr Archer suggested that this could be a "significant deterrent" to many prospective property buyers as they struggle to make secured loan repayments.
Buyers Need To Insure Property Is 'Affordable Now And In The Future' (19)
He said: "The first and foremost thing you need to do [when applying for a mortgage] is make sure it is affordable now and in the future, especially with the way interest rates have been going up over the last 18 months or so".
Hedge Funds Growth Open Doors To New Financing Options (20)
"Funds need to reach the multibillion level so they can access the broader range of funding," explained Charles Davidson, director in Financial Services Ratings at Standard & Poor's Ratings Services.
Permalink to Borrowers In Southern England ‘Face Increasing House Costs’