Mortgage Demand Falls Off A Cliff
The Bank of England’s analysis of credit conditions for households and businesses placed demand for home loans at -41.5 on a scale of -100 to +100.
But while demand is down, the banks insist that they are prepared to lend, and do not need to be forced to do so, as the government is threatening.
Simon Hayes, economist at Barclays Capital, said that lending conditions may have reached ‘the new normal’ after the easily available credit that characterised the markets before the 2007 financial crisis. “There are no signs in this survey of further structural tightening in credit supply by lenders: lending flows are weak because uncertainty about the economic outlook is dampening both demand and supply,” Hayes added.
If this is the ‘new normal’, then it may presage an era where house prices have less volatility than in the past 20 years, since there will be fewer speculators hoping to make quick profits and more steady conditions all over.
Reports that lenders are becoming less able to offload risky loans onto other investors are also potentially positive news, since it means that the financial markets are beginning to regulate themselves and steer away from the pyramid selling practices which did so much harm in the mid-2000s.
Indeed, much of the housing bubble has been a form of pyramid selling operation, where vendors would hope to cash out before the crash, leaving the rest of us poor suckers left holding assets worth less than we’d paid for them. It hasn’t quite worked like that, because the market has subsided gently rather than crashed, but the thought was there.
Original comment can be found at The Mortgage Advisory
This site is written and contributed to by property professionals from inside the UK House Building Industry.
That's right, we're developers - hated by all for our unwavering pursuit of profit and demonic need to concrete over the UK's greenbelt.
You may well wonder why we (as opposed to estate agents) are best equipped to advise you on the subject of selling property?
Surely our expertise lies in knowing how to buy land, put together development proposals, navigate the planning process and build identikit housing estates?
This is all true but it misses the one key point that our core goal (like yours) is to sell property for the highest possible price!
Just like you we also have to deal with flaky buyers, shoddy estate agents, slow solicitors and inept mortgage brokers.
The difference is, we do it on a daily basis and as such have become masters of managing the process.
Ashton House, Cornwall Avenue, London, N3 1LF
This release was published on openPR.
Permanent link to this press release:
Please set a link in the press area of your homepage to this press release on openPR. openPR disclaims liability for any content contained in this release.
You can edit or delete your press release Mortgage Demand Falls Off A Cliff here
News-ID: 163214 • Views: 1127
More Releases from Propacea Limited
Why House Price Stagnation Is A Good Thing
News from the Land Registry that average property prices fell by 1.1 per cent in March to £160,996, with other surveys painting a similar picture of tiny falls, or tiny rises, has caused commentators and property experts to bemoan the ‘stagnation’ of the market. Certainly from one point of view, stagnation is a bad sign, since the livelihoods of estate agents, surveyors, mortgage advisors and many others depends on a
Property market snapshot
As winter turns to spring and people’s minds turn to the likely upshot of the economic turmoil in Britain and its impact on the property market (at least mine does), we present a snapshot of the sentiment among property experts and commentators: Simon Rubinsohn, chief economist at Royal Institution of Chartered Surveyors (RICS): “I think that confidence has improved since the end of the year but it remains fragile
UK Rental Squeeze Continues
The imbalance between high demand for private rented accommodation and the limited supply will continue to distort the market and produce unforseen quirks. According to the Association of Residential Lettings Agents (ARLA), there will be various new factors emerging: home owners who cannot sell will turn to renting their properties, knowing that rates are currently high. But this will go nowhere near saoking up the rising demand and will
What Are The Buy-To-Let Prospects For 2011?
According to the latest figures from the Young Group, based on a survey of the group’s 500 property investors and landlords, sentiment in the private rented sector remains buoyant and there is a positive outlook for 2011. In particular, the London market is expected to outperform the UK market in the coming year, with 89 per cent of respondents believing that London residential property prices will be at least at
More Releases for Hayes
Attorneys from Austin’s Weisbart Springer Hayes Named Among Texas’ Best
AUSTIN, Texas – The founding partners of the Austin law firm Weisbart Springer Hayes LLP are being recognized again as three of the state’s top attorneys in the recently published 2013 Texas Super Lawyers list. Geoffrey D. Weisbart, Julie A. Springer and Sherrard “Butch” Hayes have each earned multiple, consecutive selections to the list since its creation in 2003. Mr. Weisbart represents both defendants and plaintiffs in a wide range of business-related
Daniel Hayes Finishes 3rd Place in 2012 Winston Invitational
Toronto’s own, Daniel Hayes, competed in the 2012 Winston Invitational bodybuilding competition and finished in an astonishing 3rd place out of dozens of contestants. Toronto, ON, Canada, October 24, 2012 -- Daniel Hayes Finishes 3rd Place in 2012 Winston Invitational Toronto-based actor, MMA fighter, and entertainer competed in Ontario's top bodybuilding competition Toronto's own, Daniel Hayes, competed in the 2012 Winston Invitational bodybuilding competition and finished in an astonishing 3rd place out
Amber Hayes “Wait” Music Video to World-Premiere on Yallwire.com May 13
Video shot by three-time CMT Director of the Year Steven Goldmann (Nashville, Tenn. – May 11, 2011) FUNL Music recording artist Amber Hayes is debuting the music video for her current single, “Wait,” this Friday, May 13, at 9 a.m. CDT as an exclusive world premiere on Yallwire.com. Shot and directed by award-winning film and music video producer/director Steven Goldmann (Shania Twain, Faith Hill, Alan Jackson, Trace Adkins, Martina
C’mon! Amber Hayes Releases Debut EP Aug. 31
Unique CD release party + live WSM radio broadcast to be held Sept. 2 at legendary Nashville venue The Station Inn (Nashville, TN – Aug. 17, 2010) FUNL recording artist Amber Hayes is releasing her debut EP, C’mon, on Aug. 31 and staging a unique CD release party and live radio broadcast Sept. 2 at Nashville’s Station Inn. Hayes first began work on C’mon during her standout run as Kathy Twitty
Amber Hayes Invites Listeners to “C’mon” with New Summertime Single
Impacts at radio TODAY, June 22 (Nashville, TN – June 22, 2010) FUNL Music recording artist Amber Hayes has officially released her debut single to Country radio, the fun and flirtatious summertime track, “C’mon.” Co-written with Brian Pharoah and guitarist Bill Diluigi, “C’mon” was penned in a moment of inspiration while on a writer’s retreat in California. The song came together in a matter of minutes during a
Essentials for Young Lives Drive - Hayes Martin Associates
Sandy Keedy, President and Creative Director of Hayes Martin Associates, Inc., has announced that the firm was a participant in HomeAid Orange County’s first “Essentials for Young Lives Drive”, a community-wide effort to collect “essential” baby items for homeless mothers and their children. Keedy serves on the Board of Directors for HomeAid Orange County and has been actively involved with the organization for many years. “I have seen firsthand how