People looking for mortgages with defaults will certainly need some expert help, but the challenge of affording a new home at a time of record prices will be one any prospective house buyer will face.
However, one potential way forward may be to look beyond national or even regional figures to see where certain local districts, towns or villages have more favourable prices. This way, you may find a bargain just a few miles from somewhere in which prices are a lot higher.
An article in the Daily Telegraph has highlighted how certain rural villages are so sought-after that prices just won’t fall at all. These so-called ‘golden villages’ are places that are said to be immune even to a significant downturn in the property market, something that could happen if there is a recession.
Among the places named as such villages are Ilmington in Warwickshire, Staveley in North Yorkshire and Griffham in West Sussex and St Martin-by-Looe in Cornwall. Clearly these are great places for investors with a lot of money who desire beautiful village life and secure prices. But they are not made for bargain hunters.
The latest price data produced by the Office for National Statistics, which showed prices up to May, can, however, show a broader picture of difference. It showed the overall English price increase over the previous 12 months was 13.1 per cent. But this varied greatly between local authorities.
For instance, North Warwickshire saw the highest increase at 23.1 per cent (despite not containing Ilmington), whereas neighbouring Tamworth was trailing at 12.7 per cent.
Perhaps most remarkably, the largest drop in prices (six per cent in Rutland) came next door to Harborough, which had the second highest annual increase at 22.7 per cent.
Often the headlines focus on those ought-after places with high prices and persistent high values. But the underlying data can reveal areas just a few miles away where house hunters can find properties at lower prices and with much less price inflation.
Your home may be repossessed if you do not keep up with your mortgage repayments.
There may be a fee for mortgage advice. The actual amount you pay will depend on your circumstances. The fee is up to 1% but a typical fee is £595.
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Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it. There may be a fee for mortgage advice. The actual amount you pay will depend on your circumstances. The fee is up to 1% but a typical fee is £595.
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