Monday, May 11, 2009
Category:
Home Improvements
According to research carried out by first direct, over four million homeowners are currently keeping an eye on the housing market in preparation for taking advantage of reduced house prices. Their intention is to move up the property ladder before prices begin to rise.
The research revealed that this group is in possession of £20.2 billion worth of savings, which will eventually be pumped into the housing market. Small signs of recovery would appear to be in sight for the property market, as indicated by the research.
Findings reveal that the average Brit anticipates that house prices will begin to rise steadily from October 2010. 15 percent feel that this will occur by the end of 2009. In contrast, 16 percent are less optimistic in their belief that the housing market will not see gradually rising house prices until the Olympics have been and gone in 2012.
In terms of geographic conclusions, the majority of prospective house-buyers that are currently sitting tight are based in the capital, with 15 percent being London inhabitants.
Gender differences were also noted, with 14 percent of women being more inclined to play the waiting game compared to just 8 percent of men. Nationwide opinions in relation to the housing situation were found to be varied. 25 percent feel ‘lucky’ thanks to the opportunity to take advantage of the falling property prices and18 percent feel ‘thrilled’ at the chance to obtain a bargain. In contrast, 20 percent are feeling less upbeat due to having to delay major decisions such as marriage and children, and 12 percent do not believe that they will ever become a homeowner judging by current prices.
first direct spokesman, Jimmy Kelly, commented: "If property is your preferred investment, it's worth existing home-owners investigating offset mortgages as a savings option while they wait for the right time to invest. With savings accounts paying such low rates of interest at the moment, offsets are looking particularly attractive.
"Swapping to an offset mortgage could cut down the length of a £100,000 25 year mortgage by almost three years and save £18,322 in interest payments over the lifetime of the mortgage."
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Homeowners that are frustrated with playing the waiting game, and are eager to be living in their dream property, could consider taking out a secured loan to create their ideal living space within their existing home. One of many options to finance home improvements, a secured loan could be used to fund an array of home improvements from general redecoration to adding new bathrooms and kitchens. A secured loan could even be used to create additional space within the home by means of a conservatory or extension, allowing those who are thinking of growing their family, the space to do so.
