ESTATE AGENT CELEBRATES BIRTHDAY WITH SPECIAL SELLING FEE

In January 2008, just after the financial meltdown took hold and plunged the country into the start of the recession, Darren Head opened Besley Hill’s 17th and newest franchise to date on the busy and vibrant Gloucester Road in the heart of Bishopston. Despite Bristol’s then Lord Mayor, Councillor Royston Griffey, performing the official opening during the harshest of economic times, the office has exceeded its targets in residential sales, full letting services and benefits from its own independent financial advisor, auction and survey departments. Still going strong and prospering in the ever-changing market trends, Darren has recently employed Laura Savage as the new office manager, who brings years of experience in the estate agency business to the existing strong and dedicated team. The office is celebrating its sixth birthday by inviting visitors to this website to join them at 66 Gloucester Road, Bishopston, on Saturday 25 January between 11.00am and 2.00pm when they will be able to meet the team. “We will be offering a yummy slice of birthday cake and champagne, along with balloons and goody bags for our younger visitors, and hope it will be a memorable occasion for all,” said Darren. And, to mark the occasion, Besley Hill’s Bishopston office is offering a special exclusive selling fee, whereby, for six weeks only, until 8 March, they will sell your property for 0.6% plus vat including a free EPC! For those unable to make the birthday celebrations, call the team (Darren, Laura, Tom, Matt, Dawn and Sally) on 0117 9244008 for further information on the exclusive selling fee or even just for a more informal chat about the housing market. They would be pleased to hear from you - and look forward to welcoming you as one of their guests on 25 January. Caption: Preparing to celebrate the sixth birthday of Besley Hill’s Bishopston office (left to right) are Thomas Dowdeswell (senior negotiator), Darren Head (director) and Matthew Winch (negotiator)

4,000 NEW HOMES ALREADY SECURED WITH HELP TO BUY

Nigel Bull, one of a team of Mortgage Advice Bureau (MAB) financial advisers serving Besley Hill Estate Agents offices throughout Bristol and Gloucestershire, comments on the success of the Help to Buy Scheme and the outcome of the recent MPC meeting: “The June meeting of the Bank of England’s Monetary Policy Committee (MPC) marks the last time that the current Governor of the Bank of England, Mervyn King, will preside over the interest rate setting and monetary stimulus monthly meeting. The Governor is stepping down from the role at a time when the economic news finally looks to be moving more consistently in a positive direction. Several economic surveys in the last week or so have reported business expansion in the service sector, which accounts for some three quarters of the UK’s total trade, and importantly, due to the need for us to diversify our economy, expansion is also occurring in both the construction and manufacturing sectors. We understand that at the previous meeting of the MPC in May, King voted in favour of an injection of 25bn to stimulate the economy, however, the group vote was to take no action. This notion was upheld once again at this month’s meeting as the committee voted to maintain the base rate of interest at 0.5% and to refrain from further asset purchase. With the global economy now appearing to finally be heading in the right direction, we could see this attitude becoming a world-wide trend, with many central banks looking to refrain from further market intervention. The Government’s interventions to stimulate the housing and mortgage markets announced in the recent budget included the Help to Buy scheme, which has been operating for a little over two months. During that time 4,000 new homes have been reserved. This initial take-up is very positive and there are further measures due to come into operation in 2014 with the introduction of a mortgage guarantee scheme to enable lenders to offer mortgages at higher Loan to values on re-sale property. This is likely to give a further boost to housing transaction numbers and greater access to mortgage finance for those borrowers who have not been able to save substantial deposits or those whose equity has been eroded. Mortgage rates have continued to fall at the beginning of June from May with the average 2, 3 and 5 year fixed rates now at 3.74%, 4.06% and 3.88% respectively. Borrowers across the country remain firmly in favour of fixed rates with more than nine out of every ten borrowers during May and cumulatively opting for a fixed mortgage product. May has also seen a positive increase in the number of mortgage products offered to the market with more than 7,000 mortgage products currently available to the typical intermediary, almost a 6% increase over April and the highest number in more than 12 months.” To find out how you could take advantage of the Help to Buy scheme, call Nigel Bull on 0117 9325686, email him at nigelb@mab.org.uk or contact the MAB local mortgage specialist at your nearest Besley Hill office. Note: Your home may be repossessed if you do not keep up repayments on your mortgage. There will be a fee for mortgage advice. The actual amount you pay will depend upon your circumstances. The fee is up to 1% but a typical fee is 0.3% of the amount borrowed.

CHEAPER BORROWING SET TO CONTINUE?

Nigel Bull, one of a team of Mortgage Advice Bureau (MAB) financial advisers serving Besley Hill Estate Agents offices throughout Bristol and Gloucestershire, comments on the Bank of England’s Monetary Policy Committee’s decision to retain the base rate of interest at 0.5% for the 50th month. “Last month we were waiting the first quarter Gross Domestic Product (GDP) results for the UK economy and the outcome was positive with, as expected, the UK posting a 0.3% rise in GDP following the fourth quarter 2012 decline. This meant that the UK had officially avoided what was potentially a “triple dip recession”. Following the publication of the positive GDP data, we are not surprised that at this month’s meeting of the Bank of England’s Monetary Policy Committee (MPC), the vote was once again to refrain from further monetary stimulus keeping it unchanged at £375bn. It also decided to maintain the base rate of interest at 0.5% this month and this marks the 50th month that the Bank Rate has remained at this all time low level. The Bank of England has recently announced the appointment of a new Bank Governor, Mark Carney, former Governor of the Bank of Canada, an economy that fared far better than many other Western economies following the global financial meltdown. Mr Carney is said to favour other forms of central bank intervention, so it will be interesting to see if Quantitative Easing (QE), the current Governor’s preferred method of direct intervention, will stay, or if we will see a new policy direction. Following the recent budget announcements in relation to the Government’s Funding for Lending scheme (FLS), it has now been confirmed that the scheme will be extended at least until 2015. One of the objectives of this policy was to reduce the cost of borrowing for Banks and Building Societies, and, thereby offer mortgage borrowers and small and medium sized enterprises access to cheaper mortgages and loans for businesses. The policy appears to be having the desired effect as at the beginning of May 2013, average 2, 3 and 5 year fixed rates had once again all fallen further to 3.82%, 4.13% and 3.96% respectively. Not surprisingly with rates at these historic low levels, borrowers continue to be firmly committed to fixed rate mortgage products with 9 in every 10 transactions during April being conducted on a fixed rate basis.In addition to reducing the cost of mortgage products, lenders have continued to steadily increase overall product numbers, with the number of mortgage products typically available to intermediaries rising once again in April to 6,742, a further increase of 1% over March.” To see if you could take advantage of these low rates whether you are remortgaging or buying for the first time, or to discuss your circumstances in more detail, call Nigel Bull on 0117 9325686, email him at nigelb@mab.org.uk or contact the MAB local mortgage specialist at your nearest Besley Hill office. Note: Your home may be repossessed if you do not keep up repayments on your mortgage. There will be a fee for mortgage advice. The actual amount you pay will depend upon your circumstances. The fee is up to 1% but a typical fee is 0.3% of the amount borrowed.

FIXED-RATE MORTGAGES ARE LOWEST FOR FIVE YEARS

Borrowers are enjoying the lowest fixed rates the mortgage market has seen for over five years. The trend has been welcomed by Nigel Bull, one of a team of Mortgage Advice Bureau (MAB) financial advisers serving Besley Hill Estate Agents offices throughout Bristol and Gloucestershire, as a benefit for both house buyers and those seeking to refinance existing deals. Mr Bull, based at Longwell Green, said: “As expected, the Bank of England’s Monetary Policy Committee followed a familiar pattern in February with its decision to maintain the Bank of England base rate at 0.5% and keep the programme of emergency funding in the form of quantitative easing unchanged at £375bn. The base rate has been at this low level for almost four years and there are no signs that this will change any time soon. Indeed, many forecasters are now suggesting that the base rate will remain unchanged until 2015 and possibly longer. The government programme to stimulate lending in the wider economy - Funding for Lending (FLS) - does seem to have kept the rate war within the mortgage industry raging on, and we have continued to see further falls in average interest rates over the last few months. At the beginning of February, the average 2, 3 and 5 year fixed rates stood at 4.11%, 4.36% and 4.14% respectively - the lowest levels since our records began. When the FLS initially launched, the most attractive rates on offer were still targeted at those with substantial deposits. However, we are now seeing increasingly attractive rates higher up the loan to value (LTV) curve. For example, headline 2 year fixed rates are now available at below 3.50% for those with only a 15% deposit, and under 4% for a 5 year fixed product. For those who do have substantial deposit and or equity of 40%, borrowing is even more attractive with 2 year deals available under 2% and 5 year deals under 3%. Borrowers remain increasingly focused on fixed initial rates, with more than nine in ten of our borrowers electing to fix during both December 2012 and January 2013. Almost all lenders will be looking to increase their overall level of mortgage lending this year and, as a consequence, we fully expect to see continued healthy competition in the market, benefiting not only house buyers, but also those looking to refinance existing arrangements.” To see if you could take advantage of these low rates, or to discuss your circumstances in more detail, call Nigel Bull on 0117 9325686, email him at nigelb@mab.org.uk or contact the MAB local mortgage specialist at your nearest Besley Hill office. Note: Your home may be repossessed if you do not keep up repayments on your mortgage. There will be a fee for mortgage advice. The actual amount you pay will depend upon your circumstances. The fee is up to 1% but a typical fee is 0.3% of the amount borrowed.

MORTGAGE LENDING REACHES TWO-YEAR HIGH

Mortgage lending for homebuyers reached a two-year high in August, according to figures from the Council of Mortgage Lenders (CML). Some 55,300 loans were advanced for house purchase during the month worth £8.4 billion, representing an 11 per cent increase on a year ago and the largest number of loans seen since July 2010, the CML said. Lending to first-time buyers is up by a fifth on a year ago with £2.8 billion worth of loans advanced, only just below the levels seen in March when the ending of a stamp duty concession for this sector prompted a rush of people looking to complete deals. Mortgage availability has been increasing since an £80 billion funding for lending scheme was launched at the start of August, although much of this has so far been concentrated around people with larger deposits of at least 20 per cent. Adam Offer, managing director of leading South West estate agents, Besley Hill, said the CML data was consistent with an upsurge in mortgage applications being handled by Mortgage Advice Bureau (MAB) representatives at Besley Hill’s 15 offices throughout Bristol and Gloucestershire. “There are indications that funding for lending is having a positive effect on the market with several lenders cutting their rates recently,” said Mr Offer.

EXTENSION OF COUNCIL RIGHT TO BUY SCHEME

The Government has confirmed the extension of the Right to Buy discount scheme to enable Council tenants to purchase their homes at discounted prices which could be worth up to 50% of the market value.
Under the scheme, those who have been a Council tenant for 5 years could receive a 35% discount with an extra 1% for each added year up to a maximum of £75,000. Tenants in flats will get 50% off after 5 years with 2% added yearly.
“This increase in discounts could open the door for millions of tenants in England and offer the opportunity to purchase a property with an affordable mortgage and climb on the property ladder,” said mortgage adviser Nigel Bull.
Nigel is one of a team of Mortgage Advice Bureau (MAB) representatives available to provide mortgage advice at Besley Hill Estate Agents’ 15 offices throughout Bristol and Gloucestershire.
For further details on how to purchase your Council home and to find out if you are eligible for this increased discount, contact Nigel Bull at Besley Hill’s Longwell Green branch (tel 0117 932 5686, email longwell@besleyhill.co.uk) or a MAB adviser at any Besley Hill office.

MORE 95% MORTGAGE DEALS AND EASIER FUNDING FOR FIRST-TIME BUYERS

There are now more 95% loan-to-value (LTV) mortgage deals available to first-time buyers than at any time since the start of the financial crisis, according to leading broker the Mortgage Advice Bureau (MAB).
The number of such deals currently open to first-time buyers from MAB representatives at Besley Hill Estate Agents’ network of offices throughout Bristol and Gloucestershire is at a four-year high, with 59 deals currently available from 21 different lenders. This is up from just 25 in February 2011, nine back in 2010, and only three at the same time in 2009.
Even using the most conservative estimates, The Mortgage Advice Bureau suggests there could be over £210million worth of mortgage finance available to first-time buyers with a 5% deposit. Based on the average house price bought by first-time buyers, this is sufficient for over 2,000 first-time buyers to buy their first home.
As an indication of what this would mean for the housing market, during the 1980s and 1990s there were typically well over 500,000 first-time buyers every year – well over 1,350 a day, whereas currently there are only around 520 a day.
Adam Offer, managing director of Besley Hill, says first-time buyers are being held back from taking up these deals only because they are unaware that they are available again.
“Well over 85% of young renters aspire to become homeowners but the vast majority of these say the fact they cannot raise a deposit is the key reason for not buying,” said Mr Offer.
“There is a widespread perception that a minimum 20% or 15% deposit is required and they just don’t realise that there are now a lot more competitive 90% and 95% LTV mortgages back on the market."
Mr Offer said that the first port of call for prospective borrowers should be to a mortgage broker like a MAB financial adviser at one of Besley Hill's offices as they can best assess which is the best product for their needs.
"The fact that lenders are open to first-time buyers again is a really positive sign and indicates that now is an excellent time for them to buy,” added Mr Offer.

GOOD NEWS FOR BORROWERS WITH SMALLER DEPOSITS

Several lenders have refreshed and re-priced their mortgage products for the new year with a new lender in the shape of Accord Mortgages starting to offer mortgages at 90% loan to value and Newcastle Building Society re-entering the 95% loan to value market.

Longwell Green-based Nigel Bull, one of a team of Mortgage Advice Bureau (MAB) representatives operating from Besley Hill’s offices throughout Bristol and Gloucestershire, says this is good news for borrowers with smaller deposits or lower levels of equity, allowing more potential buyers to access the market.

Nigel reports that December saw the anticipated seasonal slowdown in the housing and mortgage market, although activity amongst purchasers and remortgage borrowers was ahead of the same period in 2010.

“As you would expect in the current economic climate,” says Nigel, “many purchasers continue to opt for the certainty that fixed rate mortgages offer, with three out of four buyers electing to fix.

“January saw changes in the average rates available, with the average two, three and five year fixed rates and two year tracker rate all rising very slightly.

“The average fixed mortgage rates for January are 4.27% (two year), 4.53% (three year) and 4.61% (five year), all of which are below the same period twelve months ago, although average two year trackers at 3.50% are marginally above this time last year.”

According to Nigel Bull, those homeowners remortgaging are also still firmly in favour of fixed rates but the proportion is slightly less, with just under two thirds choosing fixed rate deals.

MORTGAGE COSTS FALL TO ALL-TIME LOW

Research from Barclays Capital shows that mortgage payments in England and Wales averaged £494 a month or 15.4 per cent of home owners' take-home pay last year.
This makes deals at their most affordable for a decade, falling from a peak in 2008 when monthly mortgage bills accounted for more than a fifth of take-home wages.
The data also suggested that most homeowners could manage with the Bank of England raising the base rate from its historic 0.5 per cent low.
It found that 83 per cent of homeowners would have the necessary flexibility should interest rates, or their circumstances, change.
Just under three-quarters of those studied said they had a plan in place for when interest rates started to rise, with around a third of these planning to cut 'lifestyle' spending, including clothes, holidays and eating out, to offset increases..
The latest Barclays Capital credit conditions survey found lenders were planning to launch more innovative deals, particularly for those who have smaller deposits.
“This could help first-time buyers who have found themselves trapped in the rental sector,” said Adam Offer, managing director of leading south west estate agents, Besley Hill.

BUY-TO-LET MORTGAGES BOOMING

Buy-to-let mortgages are shooting up with the number of new loans increasing by 16% in the third quarter of 2011, official figures from the Council of Mortgage Lenders (CML) show.
The data also reveals that the value of mortgages in this sector went up by 19%.
“We have access to the whole buy-to-let market for mortgages and this trend is in line with the deals negotiated for investors by the Mortgage Advice Bureau (MAB) representatives at our 15 offices throughout Bristol and Gloucestershire,” said Adam Offer, managing director of Besley Hill Estate Agents.
“We can confirm that landlords are reacting to high levels of tenant demand by using their own cash and short-term borrowing to purchase and renovate property, and then remortgaging using buy-to-let finance.”
In the three months to September, a total of 34,500 buy-to-let loans were advanced, up from 29,700 in the preceding quarter. The value of lending totalled £3.8bn, up from £3.2bn.
On both measures, buy-to-let lending was at its highest level since the final quarter of 2008.
Of the buy-to-let loans, 18,580 were for buy-to-let purchases – accounting for almost 12% of all house purchase loans.
As at the end of September, there were 1,378,700 buy-to-let loans outstanding, worth £157bn, up from 1,296,700 loans worth £150bn 12 months earlier.

HOUSING MARKET IS MAKING A REVIVAL

New figures just announced indicate that there are positive signs of a recovery in the housing market.
The number of mortgages lent for house purchase rose 7% in August from the month before, to reach 52,000, up 2% on August the year before, according to the Council of Mortgage Lenders (CML).
At the same time, figures from the National Association of Estate Agents (NAEA) show an increase in house-hunters registered per branch from 299 in July to 304 in August, the highest since September 2007, with sales up from an average of seven to eight.
These trends are confirmed by leading South West estate agents Besley Hill, who report a similar upturn at their network of offices throughout Bristol and Gloucestershire.
The CML data reveals that the number of loans to first-time buyers rose 5% both from July and August last year, with 19,000 loans taken out by first-time buyers. Home movers took out 33,000 loans in August. Lending to both first-time buyers and home movers was at its highest for over a year while remortgaging activity rose sharply by 9%, with 34,100 remortgage loans advanced.
“These statistics and the NAEA figures showing the highest number of house hunters for four years and rising sales in the traditionally slow month of August are evidence of a revival,” said Besley Hill managing director Adam Offer.
“This improvement is also borne out by reports that the market is beginning to move again from the directors and Mortgage Advice Bureau (MAB) representatives at all our offices.”

MORTGAGE SEEKERS "SPOILED FOR CHOICE"

There is no lack of choice for home owners looking for a suitable mortgage, according to a leading Bristol financial adviser.
"In fact, you could say they are spoiled for choice right now with thousands of mortgage products currently available," says Jonathan Mayall, of the award-winning Mortgage Advice Bureau (MAB).
"The number of mortgage products on the market from lenders increased to more than 7,400 during the first two weeks of this month after averaging a little over 7,000 in May.
"This demonstrates an increasing willingness to lend and more products means greater competition and better rates for borrowers as lenders withdraw and re-introduce new products, refreshing and re-pricing existing mortgage deals.
"Average mortgage rates for two- and five-year fixed rates have fallen back and now stand at 4.44% and 5.44% respectively while average two-year tracker rates have also reduced further to another new low of 3.38%."
Jonathan Mayall, based at Besley Hill Estate Agents' Fishponds office, is one of a team of MAB representatives providing financial services at Besley Hill's offices throughout Bristol and Gloucestershire.
National awards won by MAB include Best Mortgage Broker and Best Protection Broker.

EXPERTS PREDICT HOUSE PRICES WILL LEAP BY 16%

Economists predict that the cost of the average home will gradually rise 16 per cent to take prices above 2007's high as the market returns to growth from next year.
Leading experts forecast that house prices are set to rise by £30,000 and that mortgage lending will double as Britain's economy picks up over the next four years.
The respected Centre for Economics and Business Research (CEBR) think-tank believes there will be a return to a sustainable housing market as the high street banks provide more funds to help people buy property.
The CEBR calculates the average cost of a property today is £175,000. By 2015 that will be £205,643. The 4 per cent year-on-year surge is predicted to start at the end of 2011 and carry on until 2015. It would see the average UK house price rise to above the 2007 high of £191,340.
CEBR chief executive Douglas McWilliams told the Daily Express: "The main factor driving house prices up is the shortage of available housing which has already pushed up rents. But the factors that will ultimately drive house prices up again are the loose monetary policy that will accompany the Government's deficit reduction and the ability of banks to lend again on consumer-friendly terms as their own underlying financial position improves.
"This should not be confused with boom and bust. We are forecasting a gradual four-year recovery at an annual rate of about 4 per cent."

House Prices Up 5% This Year!

House prices increased by 0.67% during Q1 of 2011 to reach £197,153 reported Azzetz House Price Watch (AHPW) today.

Their index is based on house price information from Nationwide, RightMove, CLG and LSL Acadametrics - shows property values have risen by an average of £1,305 over the last three months.

AHPW stated house prices fell by 0.5% compared to Q1 2010, but the three-month annualised average rate of growth is now 2.98%.

Chief executive Stuart Law at AHPW stated “UK house prices have shown resilience in the face of the government’s spending cuts, recouping losses witnessed at the end of 2010 in the first few months of this year.”

“We expect prices to continue to increase in Q2 in line with a number of new mortgage funding schemes and good news stories regarding the economy.”

Mr Law stated recent falls in the rate of inflation & unemployment have helped to boost consumer confidence, which, combined with limited housing supply and improving mortgage finance, will continue to push house prices upwards this year.

Law believes the Bank of England to raise interest rates by 0.25% in the next few months. “The slight increase in mortgage repayments as a result will have a negligible impact on homeowners and prospective buyers who will continue to benefit from historic low rates.”

“Interest rates are unlikely to exceed 1% this year in order to compensate for recent tax increases and spending cuts. These low rates will continue to support house prices and consequently, unlike many commentators, we still expect values to increase by around 5% this year.”

"MARKET IS RECOVERING SO BUY NOW!" - top estate agent

The housing and mortgage market is enjoying a period of constant revival, according to one of the west’s leading estate agents.
Stimulated by the continued involvement of first-time buyers and the buy-to-let sector, March saw a strong upturn in activity, figures issued by Besley Hill reveal.
Based on transactions at their 17 offices in the region, there was a 10% increase in residential mortgage valuations compared to 12 months ago – the fifth successive month a year-on-year rise has been recorded.
Besley Hill’s other findings include valuation instructions 15% higher than in the same period a year ago in the first three months of 2011; 6% more valuations for residential property in March compared to February; and valuations in the first quarter of the year up by 25% on the previous three months.
“The situation has improved partly because we have also seen a return of first-time buyers to the market,” said Besley Hill managing director Adam Offer. “We carried out 20% more valuations for these buyers last month than in February and 25% more in the first quarter of 2011 than in the previous quarter.
“In fact, with 35% of all valuations being for first-time buyers, it was the highest proportion of all our valuations since September 2010.”
The buy-to-let sector also played a part in the recovery with valuations undertaken by Besley Hill for investors rising by 16% in March compared to a year ago, up by 8% on the previous month, while in the first quarter of the year, there were 50% more valuations for landlords than in the same period last year.”
Adam Offer added: “There is no doubt that a recovery is upon us – whether this will be sustained throughout the year remains to be seen. But we all know that the best deals are done just before the upturn is in full swing.
“So my advice is to take advantage of low interest rates and competitive house prices while you can. It could prove to be the best time for many years to come.
"If you love the home you have just been round to view, if your job is safe and if you reckon you can afford it, ignore the gloom and doom merchants, get some sound quality mortgage advice and buy it!”

House Sales Surge in March

Agency Express’s Property Activity Index for March shows monthly house sales were up 23%.

This was a fall on the whopping 38% increase house sales seen in February but it was the second month-on-month rise.

Monthly house sales were up 23.2% in March following February’s rise of 38.3%. Sales reached their highest level since May last year and were 4.8% up on March 2010 and 10.2% up on March 2009. Each region saw an increase in sales ranging from a 47.8% rise in the East Midlands to 3.7% in Wales. Greater London sales rose 37.3%, in the North East they were up 36.4% and Yorkshire saw a rise of 32.2%.

It was also the third consecutive month rise in the number of ‘For Sale’ listings which were up up 25.0%, the highest level achieved since August 2010. This is also 6.4% higher than March 2010 and 47.7% higher than 2009.

All regions bar one saw improvements in new ‘For Sale’ listings. Scotland saw a rise of 42.4% followed by Greater London at 39.1%, the North West at 37.4% and the South East at 26.6%. The North East was the only region to see a fall with the number of new For Sale listing dropping -0.8%.

Stephen Watson, managing director, Agency Express, says: “This latest set of data paints an encouraging picture for the housing sector.

“Not only has there been a significant uplift in new ‘For Sale’ listings and house sales but the trend over the last two or three months indicates that this might be sustainable.”

He adds that the fact that London is showing strong growth in both the number of properties being put on the market and the number of sales that are going through is a good sign as traditionally this has then radiated out into the rest of the regions in following months.

Source: MAB 13.04.11

Average LTV's at Highest Level for 3 years

Average Loan to Value (LTV) mortgages are at their highest level for 3 years according to Mortgage Strategy today.

The volume and availability of the all important 90% LTV bracket have grown by the largest amount during this period.

The return of this sector of the market has given rise to a fresh influx of first time buyers coming back to the market place - keen to take advantage of the many cheap homes available at the moment.

It is our opinion that 2011 will be the last year of the bargain priced home - so take advantage and start looking now!

For great independent mortgage advice contact any local branch - you may be pleasantly surprised!

13.04.11 Besley Hill Estate Agents

CHANCELLOR'S FTB INITIATIVE IS JUST WINDOW DRESSING!

Adam Offer, managing director of Besley Hill Estate Agents, with 17 offices in Bristol and Gloucestershire, gave a cool welcome to the Government's new scheme to help first-time buyers get on to the property ladder.
He said: "The budget today has offered very little to assist in stimulating the housing market. The FirstBuy scheme announced today will offer 10,000 first-time buyers up to £25,000 each in the form of a loan towards their deposit on any NEW HOME purchase. The scheme will be administered by the Department of Communities and Local Government (DCLG) – who in the past have announced schemes before they were ready to market, producing massive confusion.
"This initiative will encourage first-time buyers to buy new homes at inflated prices on cramped developments with huge inherent parking problems – potentially slums of the future – rather than stimulate the wider housing market where there are many sensibly priced homes. The key is surely in unlocking this end of the market which will ultimately generate more transactions through the chains – stimulating the market as a whole – so it is an opportunity missed in my opinion.
"George Osborne's FirstBuy scheme won’t go beyond scratching the surface of the problem faced by the vast majority of first-time buyers as it’s exclusively for new-build properties and only around 10,000 buyers will benefit - a fraction of the overall number of potential first-timers currently misplaced by the mortgage famine in higher LTV (loan-to-value) deals.
"Although this is a tiny step in the right direction, it's merely window dressing the wider problem of lack of assistance to first-time buyers."

83% of MPs say FTBs need more support

The majority of MPs believe more must be done to help first-time buyers, research from Genworth Financial shows. About Time - we say!

A survey commissioned by the specialist insurer and carried out by ComRes reveals 75% of MPs think people with a stable income but who are unable to put up a deposit of 10-20% should have access to mortgage finance provided repayments are affordable.

Furthermore, 83% of those asked stated their constituents need more support in getting on the housing ladder, a figure that rises to 100% for MPs with constituencies in London.

The survey also shows 84% of respondents agree that a more fluid housing market, stimulated by easier access for first-time buyers, would help the UK’s financial situation and improve the social mobility of their constituents.

Angel Mas, president of mortgage insurance for Genworth Financial in Europe, says: “The deposit remains the biggest barrier to homeownership in the UK, along with the prudent approach taken by lenders, which are allocating their scarce capital to other segments of the mortgage market.”

He says it is crucial that high loan-to-value lending returns to the market in order to make it accessible for individuals who have a sound credit profile but are unable to save for a deposit.

“Lenders can participate safely in the high LTV segment by transferring default risk to a specialist insurer. This model creates additional safeguards for the overall system as insurers will only accept this risk if appropriate lending criteria are applied and monitored.”

Mas highlighted the example of other major economies that have continued to make finance available to first-time buyers.

He adds: “This framework already exists in a number of other major economies which have withstood the economic crisis, with the flow of credit to prime first-time buyers remaining open through the cycle. The urgency of this situation should point towards their example rather than looking for new and untested solutions.”

Thanks to Mortgage Strategy 14.03.11

Northern Rock launches 90% LTV fixed rate deals from 5.99%

Northern Rock is launching a new range of Everyday mortgages available up to 90% loan-to-value.

As part of a support package for first-time buyers, the state-backed lender is introducing a two-year fixed rate deal at 5.99%, a three-year fixed rate product at 6.49% and a five-year fixed rate at 6.59%, all of which have no payable product fees.

Andy Tate, customer and commercial director at Northern Rock, says: “Our new products, which will be offered within our prudent risk appetite and only to customers with good affordability, should appeal to those who have lower deposits and first-time buyers.

“First-time buyers are important to the housing market. Having listened to those customers, we have developed a service that not only helps them to arrange the right type of mortgage that they can afford, but also supports them through the various steps in the process.”

The lender has also cut its interest rates across the rest of its mortgage range, reducing Everyday fixed rates at 75% and 70% LTV by up to 0.19%, Everyday trackers at 75% and 70% LTV by up to 0.3%, two-year fixed rate buy-to-let deals by 0.6% and longer-term BTL deals by 0.2%.

This is the first-time Northern Rock has offered LTVs higher than 85% since its high-profile collapse and government bail-out three years ago.

Nigel Lewis, property analyst at Findaproperty.com, says: “Northern Rock are offering these mortgages only because they must believe that the house price drops seen over the past two years are now over and that a more stable housing market will now follow – they wouldn’t lend at such high LTVs if they thought otherwise.

“This is good news for first-time buyers put off by the prospect of negative equity because at worst house prices are due to be flat for the next year or so with potential rises in areas of high demand.”

For details of homes suitable for first time buyers click here. For mortgages contact any of your local Besley Hill branches - click here for your local branch.

Thanks to Mortgage Strategy for this news 02.03.11