Just 2% of consumers fear that the housing market is overheating, the Building Societies Association's (BSA) Property Tracker report has revealed, but distinct signs of life are emerging.
When asked what one word they would use to describe the housing market now, one in five people said ‘recovering’. A further fifth said that the market is ‘stable’ and just 1% describe the current market as ‘crashing’ - all strong indications that market sentiment has improved.
The majority of consumers (just over 60%) now believe that house prices will rise in the coming year, the highest proportion since the Property Tracker survey began in 2008. In addition, the major perceived barriers to property purchase have declined, the most notable being access to mortgage finance, now seen as a barrier by 39% of people, down from 46% three months ago, and 60% in 2011.
This wider availability of mortgages for first time buyers with smaller deposits is starting to make a difference and in the first seven months of the year a quarter of all mutual lending was to those with a deposit of 10% or less. Government schemes such as Funding for Lending (FLS), Help to Buy: equity loan and the resultant positive media coverage about the housing market may have also filtered through, helping to reduce the perception of these factors as barriers to home ownership.
Contact Us
Contact our property lawyers based in Bishopbriggs and Lenzie today. To make an online enquiry please click here or call us on 0141 775 0005