Great Britain: real estate prices have risen 0.7% in March, according to Nationwide

The UK house prices have rebounded in March, reversing their decline recorded in February, according to the monthly barometer published Friday by the mutual bank Nationwide.

Property prices rose by 0.7% over the month, against a decline of 0.8% the previous month, while reducing their progress on year to 9% after 9.2% in January.

It's better than expected by economists, which projected an increase of 0.2% on month and 8.2% year on year, according to a note from Credit Agricole CIB.

The average price of housing in the United Kingdom is well recovered in March to 164,519 pounds, or about 182,900 euros, Nationwide said in a statement.

According to Martin Gahbauer, the chief economist of the bank, the figures of the last two months reflects the overall stability of the UK housing market.

According to him, beyond the harsh climate which has reduced the transaction this winter, buyers seem hampered by the political climate, a few weeks before British general election, expected on May 6

"With political and economic uncertainties particularly important before the elections, potential buyers are acting with great caution," and "if this trend continues, we should see a small number of homes changing hands, but at relatively stable prices" .

Resumption of the housing market in Britain

Housing prices rose 0.4% in December compared to the previous month in the United Kingdom, an increase of 5.9% a year, according to figures released Thursday by the bank that specializes Nationwide. Although prices are still 12.2% below the peak recorded in October 2007, they returned 8.9% since the lowest reached in February 2009.

The United Kingdom had known, like the United States, a housing bubble that made very little available housing prices especially in large cities such as London. The historically low prices and the easing of access to credit, enhanced by maintaining interest rates at 0.5% since March last, explaining that recovery of the housing market in Britain.

However, we must not expect a sustained recovery in housing demand as the market conditions of employment contiuation to deteriorate, households prefer to wait some encouraging signs in this area and turned again to banks for house purchase. According to Martin Gahbauer, chief economist at Nationwide, "it is likely that we will not encounter any significant movement of the estate in 2010, neither upward nor downward.

The UK property is not out of business

The year 2009 was excellent for buyers able to move liquidity. The number of potential buyers has greatly limited because financial institutions have rediscovered the virtues of caution: the supply of loans has been reduced by two thirds compared to its level before the credit crisis. The sellers have preferred to wait and not to lower their claims, while unemployment rose slightly below expectations. It is therefore quite logical that prices have increased and the volume of transactions has remained limited.

Difficulty borrowing

It seems that the situation evolves. In recent months, buyers have discrete facts frankly, while sellers have instead raised their prices. However, the difficulty to borrow is always greater. If the monthly number of mortgages granted has now reached double its low of 27 424, it is still well below what we knew before the crisis.

Except that the UK economy suddenly revived in 2010, banks do not risk paying too much the amount of the acquisition to borrowers whose monthly payments are too high in relation to their income. Credit institutions are still left too much credit for defects afford. This policy will crowd out the market first-time buyers. As long as unemployment is set loose incidents repayment will increase. The direction of price increase will be hindered or even completely reversed.

However, economic recovery alone would perhaps not in itself restore the situation. If you want to keep inflation in check, it will raise interest rates, thus increasing the burden on borrowers and those who invest in rental housing. So far, the rates of 0.5% they had avoided asphyxia. Any increase in push a number to sell.

The wealthy foreign buyers, who do not need to resort to borrowing, could save the London market. In fact, according to the valuer Savills, the price of high quality assets located in the center grew by over 7% since March, even if he had unscrewed from 23% just before, between 2007 and that month March.

However, this population of buyers will not continue to bear market if London remains an attractive city for rich people. However, according to Savills, this does not seem clear: the United Kingdom should not rely on its capital to exit the housing slump when it is immersed.

The UK property is not out of business

The year 2009 was excellent for buyers able to move liquidity. The number of potential buyers has greatly limited because financial institutions have rediscovered the virtues of caution: the supply of loans has been reduced by two thirds compared to its level before the credit crisis. The sellers have preferred to wait and not to lower their claims, while unemployment rose slightly below expectations. It is therefore quite logical that prices have increased and the volume of transactions has remained limited.

Difficulty borrowing

It seems that the situation evolves. In recent months, buyers have discrete facts frankly, while sellers have instead raised their prices. However, the difficulty to borrow is always greater. If the monthly number of mortgages granted has now reached double its low of 27 424, it is still well below what we knew before the crisis.

Except that the UK economy suddenly revived in 2010, banks do not risk paying too much the amount of the acquisition to borrowers whose monthly payments are too high in relation to their income. Credit institutions are still left too much credit for defects afford. This policy will crowd out the market first-time buyers. As long as unemployment is set loose incidents repayment will increase. The direction of price increase will be hindered or even completely reversed.

However, economic recovery alone would perhaps not in itself restore the situation. If you want to keep inflation in check, it will raise interest rates, thus increasing the burden on borrowers and those who invest in rental housing. So far, the rates of 0.5% they had avoided asphyxia. Any increase in push a number to sell.

The wealthy foreign buyers, who do not need to resort to borrowing, could save the London market. In fact, according to the valuer Savills, the price of high quality assets located in the center grew by over 7% since March, even if he had unscrewed from 23% just before, between 2007 and that month March.

However, this population of buyers will not continue to bear market if London remains an attractive city for rich people. However, according to Savills, this does not seem clear: the United Kingdom should not rely on its capital to exit the housing slump when it is immersed.

Towards a limited increase in house prices UK in 2010

Despite signs of improvement in recent months, the upturn of the UK property market will remain weak in 2010.

According to the Royal Intitution of Chartered Surveyors (RICS), the expected recovery rate of the Bank of England mechanically increase the cost of borrowing and put pressure on buyers.

Direct consequence, the rising UK house prices should remain contained. RICS table at best an increase of 1 to 2% in house prices in 2010.

United Kingdom: Nationwide predicts a resumption of the decline in house prices

The recovery of the UK property market is not right away. Nationwide banking group said Friday that "the rise of unemployment throughout the year 2010 inevitably exert pressure on housing prices." And if prices are actually left forward recently, "because of the weakness of supply" of available homes, says Nationwide.

The property prices in Britain could leave the drop in 2010

Despite a marked improvement in recent months, the market for UK property is not out of the rut. Starting next year, house prices could indeed go back down, according to 14 industry experts surveyed by Bloomberg.

"For the market to normal, prices are still falling from 20 to 25%," said economist even the most pessimistic of the study. Most analysts also stressed that the sector recovery is not tenable in view of the continued increase in unemployment and the reluctance of banks to lend.

Penalized by these difficult conditions, the housing market even Britain could take several years to recover.

Rising property prices and stocks in November

The British housing market shows signs of relaxation according to the study published by the RICS, an international organization of real estate professionals. Thus, house prices in London continue to rise as the note 95% of professional members of the organization, this threshold is the highest since December 1996. The number of professionals reporting a rise in house prices rose 14%, reaching the highest level since December 2006, and that "despite an increase in the number of new mandates received by the officers."

The study also shows that sellers are beginning to return to the market: "10% more Chartered Surveyors (members professional editor's note) are part of the increase in new orders in October compared to September. This concerns all regions for the first time since the "credit crunch" with the North, South West London and leading the movement. The number of transactions also continues to grow and professionals reported an average of nearly 19 sales per agent over the last three months. However, the ratio of sales to stocks continue to progress past 10 consecutive months, while progression of improvement in the interest of buyers has slowed for the 4th consecutive month.

Professionals Real British optimistic

The housing prices in the United Kingdom continue to grow. The latest survey from the Royal Institution of Chartered Surveyors (RICS) shows that members of the organization, all real estate professionals are increasingly likely to see "an increase rather than decrease" prices homes. The balance of opinion was 34 points for the period August to October, up 13 points over the previous three months and the highest since the fourth quarter 2006.

Monaco and London the most expensive cities

Monaco keeps the first place among the most expensive cities in Europe, despite falling property prices by 9% over the first six months of 2009, according to a survey conducted by the network of estate agents in 19 countries Era cited by Capital.fr.
According to its figures, the average price per square foot in the capital of the Rock reached 30,000 euros, almost three times more expensive than London, which occupies the second place ranking with average prices between 10,000 and 12,000 euros/m2. The third step of the podium Geneva found that displays average prices between 7500 and 8000 euros/m2.
According to figures of ERA, the French capital sharing fourth place with Milan, the average price per square foot ranging between 6,000 and 6,500 euros, with strong disparities between districts.
On the contrary, European cities are the least expensive Sofia (2500 euros/m2) euros/m2 and Budapest 1200), according to the survey.

Rising property prices still fragile in the United Kingdom

Still tentative upturn for the British housing market. In October, prices of existing homes rose 1.2%, according to the Halifax bank. This is the fourth consecutive month of increase recorded also handle

In recent months the British stone is supported by a double phenomenon: seduced by the attractive interest rates, buyers rushed back into the agencies, and that while the supply of goods sold is maintained at exceptionally low.

However, relapse prices can not be excluded. "Improving market conditions could indeed induce a number of owners to furnish their homes for sale in the coming months," said Martin Ellis economist at Halifax. This increase in supply, so naturally weigh on prices. Add to that the expected increase in unemployment and exit from crisis will be only delayed

UK : Rising property prices confirmed ... yet

New study findings themselves. According to figures released Tuesday by the bank Halifax, house prices have continued to rise in October for the fourth consecutive month.

On average, British buyers have spent 165 528 pounds sterling to purchase a home last month, up 1.2% from September and 4.7% less than in October only 2008. Prices rose more than 7% since April and accumulate in the first ten months of the year a gain of around 3%.

Supply and demand
"Demand for housing has increased in recent months, thanks to very low interest rates, the downward trend in prices began in the summer of 2007, and the surge of consumer confidence," explains Martin Ellis, chief economist at Halifax. This increased demand, combined with the weakness of the housing stock available for sale, could explain the rise in prices. But wait before you scream at the end of the price decline. According to Martin Ellis, "the recent improvement in market conditions seem to encourage more owners to put their property up for sale. If it were true in the coming weeks, this trend could restore the balance between supply and demand for housing, and put an end to rising prices.