Despite Nationwide releasing its quarterly figures this month showing that for the third consecutive month they had declined for the first time since the financial crisis, houseprices are still on the increase. Something that we are very aware of at Henley Finance. Here are some tips from bridging finance expert Richard Butler Creagh.
According to Nationwide’s not ‘seasonally adjusted figures, if houseprices continue at this rate for the next year, property prices will still rise by 2.1%. This is still healthy growth. Other trends in the economy point towards the strong trend continuing in the housing sector.
The employment rate (the proportion of people aged from 16 to 64 who were in work) was 74.8% in May as reported by the Office for National Statistics (ONS): the highest since comparable records began in 1971. This might have been reported as the job market being “Uber-ised” ‘The Guardian, 17th May 2017) but the ONS still reports that in real terms, wages on average are the same compared to last year.
At Henley Finance we are in a perfect position to observe the effects of short supply of housing. There is still fierce competition for prime residential sites. Purchasers use us to fall back on in order to clinch the deal. They know that they have to move quickly in this market place as there are many prospective purchasers around who will get the property if they don’t. Property hotspots are still evident in London, the South East and fast emerging cities like Bristol.
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