London Region Continues to Lead UK Housing Market, Reports

Sunday, November 14, 2010

Average London Prices Rise 8.8% in 12 Months

LONDON, November 15, 2010 - With mortgage lending generally flat during September according to the
Council of Mortgage Lenders (CML), the trade body representing building
societies, other data released by the UK Land Registry showed that the London
region continued to lead the UK property market, with average values growing
by 8.8% in the year to September.

New data released by the CML also shows the buy-to-let lending market
rising for a second consecutive quarter, buoyed by continuing demand for
rental properties.

Figures from the CML show that new loans for buy-to-let properties rose
12 per cent in value and 8 per cent by business volume during the third
quarter of 2010, representing 26,900 new loans, worth GBP2.8bn.

Commenting on the figures, Erica Evans of expatriate property search
agents ( said,
"With demand in the UK slowing, many expatriates and overseas buyers have
realised that now is a good time to start or to add to a property portfolio
in London. Prices have recovered strongly from their lows of around a year
ago and rental yields are generally exceeding mortgage costs for good quality
properties in key areas such as Westminster, Wandsworth and Wimbledon."

The number of loans for first-time buyers increased slightly in September
to 18,600, and were worth GBP2.2bn, but these were 6 per cent lower by volume
and 4 per cent lower by value than in September last year. Loans for
remortgages increased from 25,000 (worth GBP3.2 billion) in August to 29,000
(worth GBP3.6 billion) in September. Remortgaging accounted for 29% of total
lending in September, the first proportionate increase since May.

According to Tim Harvey, managing director of UK regulated discount
brokers ( who specialise in
providing mortgages for the expatriate market, lending conditions have eased
considerably, but the market is still tough. "Loans of up to 70% of a
property's value are readily available, with interest rates below 4%.
However, banks are now insisting on minimum loan sizes of GBP100,000, which
implies a purchase price of around GBP143,000." report
continuing strong demand for variable rate loans, as fixed rate products for
expatriates remain stubbornly high at over 6.50% in many cases for 5 year

According to Land Registry data, Brighton and Hove experienced the
highest growth rate during the year, with average values increasing by 12.9%

For more information on UK property search for expatriates and overseas
residents, visit or call +44(0)20-8333-9125

    For further press information:

    Jenny Duffy +44(0)20-8333-9125

For further press information: Jenny Duffy +44(0)20-8333-9125, Email: jenny at

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