The housing market experienced an overall decrease in activity in July, according to the National Association of Estate Agents.
It says that both supply and demand faded, with the Olympics compounding the usual seasonal slowdown.
The percentage of sales to first-time buyers also decreased, from 19% of the total to 18%.
Mark Hayward, president of the NAEA, said: “As anticipated, the build-up and opening few days of the main Olympic events in July had a negative impact on activity in the UK housing market.
“Particularly in the London regions, our agents found that many buyers and sellers were opting to postpone viewings and completions on properties until late August and into early September.
“The drop in first-time buyer levels is a continuing concern for the NAEA, especially in light of recent announcements from some of the major high street lenders that detail increases in rates on some mortgage products.”
Yesterday, the Halifax reported house prices in August to stand at an average £160,256 – down 0.4% from July.
Comments
are people here a bit slow?
banks want large deposits because they know property is overpriced by 30-50%(or more for some flats)
after prices fall,ftbs will be offered 90-100% mortgages again
trouble is who then is gonna rent the 1.4 million btlets?
@Hamish McTavish.. Would you seriously lend £500 of your personal money to the average Brit . Thought not and YOU know why.
With banks rejecting up to 90% of FTB mortgage applications that would traditionally have been considered creditworthy, sensible and prudent, it's no wonder that first time buyers are fading away.
Good .The average English person is a complete reckless idiot who just lives for the day and cares nothing for tomorrow. Can't blame the banks at all. They know about 90% of the population are complete planks and have tightened their belts accordingly.
With banks rejecting up to 90% of FTB mortgage applications that would traditionally have been considered creditworthy, sensible and prudent, it's no wonder that first time buyers are fading away.
There is no need for 125% mortgages, I/O, or liar loans.
Just historically normal, prudent and sensible lending, instead of today's situation with absurdly tight, destructive, mortgage rationing.
"I want to buy a princess power yacht......I am happy to pay the asking price.....i cant afford it so stonenge will you lend me the money. If you dont lend me the money i will have to make do with my kayak."
Of course. i will lend you £800k at only 0.25 % interest rate and i am well aware that you only earn £15k a year in a company that is likely to go bust over the next few months and you have no qualifications or much hope of getting another job either. Is there anything else you would like .A Ferrari 458 ?. Yes of course. Have another loan.
I want to buy a princess power yacht......I am happy to pay the asking price.....i cant afford it so stonenge will you lend me the money. If you dont lend me the money i will have to make do with my kayak.
I suppose you want a return to the liar loans, IO mortgages and 125% LTV mortgages have helped cause this financial mess we are in......just because it suits the EA market.
FTBs do in fact want to buy and at prices being asked in many locations. The probelm is the lenders don't want to lend, the valuers are shit scared of valuing up in case they are held to account 5 years hence, and the poor sods are still with mum and dad or renting.
Are they: 'I am worried about contracting a fungal nail infection but that is hardly worthy of a press release.'
Wear gloves when gardening. That's my tip.
I would trust Ros Renshaw well before anything NAEA or RICS have to say. If there are conflicting reports it is down to you do a bit of work and find out what the truth is and what your take on it all is.
Perhaps you would like spoon feeding with the definitive answer on everything? I think your post says more about you than it ever does about the integrity and abilities of EAT.
Perhaps you know whether President Assad is killing of his population because they are revolting or whether his population is revolting because he is murdering them?
"The drop in first-time buyer levels is a continuing concern for the NAEA, especially in light of recent announcements from some of the major high street lenders that detail increases in rates on some mortgage products."
Yes its amazing the FTB's don't want to buy stupidly over-priced houses in this economic climate isn't it ?. How very naughty of them. Santander increased their interest rates because they are not bothered about lending to over-leveraged idiots buying a depreciating asset and do want to expose themselves to the obvious risks.
I was pretty sure that yesterday you were reporting a rise in furst time buyers.
Oh yeh, I forgot, the "voice of the industry" doesn't actually do their own journalism, they just print articles from anybody that sends one in.
that is easy to stamp out either!
Worries me too.
worried for themselves or their members? I am worried about contracting a fungal nail infection but that is hardly worthy of a press release.
Jubilee, Olympics, School Holidays, Paralympics and a series of Jeremy Kyle USA. are all factors why sales volumes are lower... but the real reason is a disguised/ manipulated rate of inflation.