In London there is no question that house price inflation is in with viewers having to put in very quick offers once a property comes in the market and a lot of our clients have had to go to sealed bids to secure properties or even to have a chance to secure a property.
This will come out to other areas, such as Maidenhead and the Reading area that have Cross Rail so it means that to work in London you no longer need to live in the City of London.
The property market is a strange one, when prices were being driven higher in 2006 and 2007 it forces out first time buyers as prices were too expensive, then when the crash came first time buyers with small deposits couldn’t get mortgages and need a 25% or 40% deposit (slight exaggeration but you get the message).
Property developers are listening to the demand of new build houses. Over 200,000 new homes were built in 2016-17, making it easier for first-time buyers to get on the property ladder.
Financing property developments have become easier over the last few years due to the increase in private lenders. If you need more information on property development finance, click here.
What is the market currently like?
Now for the very first time we have a market that is made for first time buyers, lower house pries and 5% deposits so in the name of simple economics when demand out stripes supply prices will rise it is as simple as that.
As a whole of market mortgage broke, we have seen a definitely shift from first time buyers and they are back in the plentiful. See: London House Prices.
Parents have been helping with deposits and gifts on a regular basis, but I strongly belief this but now is a great time to be buying property, you will never know exactly when the top or bottom of the market is but if you are buying today (with the exception of London) you will be paying a lot less than at the top of the market, funding is cheap and also you now only need a 5% deposit.