The Challenges of the UK Housing Market

By | August 24, 2016

If you want to buy a home, you will find that the market is constantly changing. Rising housing prices and occasional dips in mortgage approvals can create a difficult environment for the average person. The current shortfall in new developments in the UK housing sector has created a situation where prices continue to rise. This has not been helped by the greater demand as more people seek to become homeowners. You can significantly improve your chances of getting the kind of home you want if you learn the fundamentals of the UK house market.

If you make contact with an estate agent, one of the first things you are likely to hear is that a challenging environment is no reason to panic. There are already positive signs from mortgage lenders as they have begun to increase the rate of approvals for loans. One of the difficulties these lenders faced was that they had to implement more stringent checks on borrowers to determine their ability to repay. An estate agent who understands mortgage products can help to make this process easier for you. They can help you find the right type of loan based on your needs and your income.

Even though there seems to be a slight increase in new construction projects, people who want to buy homes will face more challenges in areas like London. Prices in that market seem to be rising at a faster rate than in other parts of the UK. People who work in London might not be able to find homes there, and will instead have to live outside the city and commute daily.

Given the volatility of the market, buyers will have to use all options at their disposal to find the right home. These include buying homes that need repair, and utilizing the auctions process. In either case, the assistance of an estate agent who understands the market is vital. Even if you get a home at a lower price, it must still meet your other criteria such as close proximity to schools and a reliable transportation system. A knowledgeable estate agent can pinpoint periods where there is a slowdown in the market, which might be advantageous to you.

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