The property market doom and gloom is underway in 2012 with the council of mortgage lenders warning that likely increases in unemployment will cause property repossessions to increase during the year. Increased unemployment will obviously have a huge increase on the property market, repossessions are likely to increase and the uncertainty created will mean fewer buyers in the market therefore driving prices down. It’s never been more crucial to set the correct prices when looking to make a quick house sale. The prediction from the CML is that repossessions could be up by as much as 30% on last year. Combine all this information and it leads most experts to predict that 2012 will have fewer sales than ever experienced in recent memory.

2011 has seen little happen in the property market. Few sales and little overall movement have created an uneventful year. Sales are down on previous years and prices have continued to fall. So what will 2012 bring. Well most believe more of the same. There will awash be a reluctance to drop the house of the price you’re selling but ultimately, with such few buyers in the market vendors looking to make a quick house sale have little option.

As mentioned previously, property prices have reduced or remained stagnant throughout the majority of this year. One statistic that is not stagnant is the number of unsold properties on the market with an estate agent.

Seven out of ten properties placed on the market this year have remained unsold. We have covered many ways to increase your chances to make a quick house sale on the open market and you can find these tips by clicking here.

It is important to remember that many other properties on the market means more competition for you. The best advice we can offer in times like these is know the property worth and don’t over price yours. We have seen many occasions recently where the agent has valued the property £10,000 over the market value. This price is likely to put buyers off and will not get the viewings you need in order to sell your property.

If you’re one of the hundreds pf thousands of property owners who have benefited from the all time low interest rates of 0.5% then now really is the time to take stock of your financial affairs. We at Quick house sale are regularly consulting with homeowners who managed to avoid repossession in 2008 – 2010 due to the massive reduction in their monthly mortgage payments that came about as a result of the Bank of England’s unprecedented reduction of the base rate down to just 0.5%.

Homeowners and property landlords who had been previously paying upto £2000 per month on a variable or tracker mortgage found their mortgage payments dropping by up to 2 thirds which allowed them to comfortable maintain a roof over their family’s heads or hold on to that buy-to-let property that was previously losing them money.

With CPI inflation now at 4%, double the government’s target, any people in the know are expecting an imminent increase in base rates and even Mervyn King, the governor of the Bank of England mentioned in his letter to the Chancellor, George Osborne that he expects rates to rise this year ‘in line with expectations’.

A small rise in interest rates to a still very low rate of 2.5% would make many homeowners’ monthly mortgage payments double and due to this increase in expenditure it stands to reason that many experts are expecting repossessions to increase substantially in 2011

Now would be a good time to honestly assess your finances, can you afford your outgoings if this were to happen? Is your buy to let still profitable at this level? If the answer  to the questions is no and you could be facing repossession as a result, then call Quick house sale today for a free, no obligation offer on your home. As mortgage rates do begin to rise, we expect  house prices to suffer and the offer you receive for your property will not be as high as it could be currently.

Low interest rates and a steady small increase in unemployment have allowed the housing market to make a gentle landing

Some people anticipated in 2008 that the start of recession would lead to total collapse in house prices. However, this was fortunately prevented by lowering interest rates from Five percent to zero point five percent in a short space of time.

In turn, people with a mortgage experienced a sharp decrease in their mortgage payments.

In the 90s we experienced record levels of repossessions caused by high interest rates and a large increase in unemployment.

More recently we have experienced a slow decline within the property market. Applications for mortgages have decreased by over fifty percent since the high point of the property boom. However, property prices are drifting gradually lower even though repossessions are not rising.

This is likely to be due to demand for houses being weak, as people are worried about borrowing money when their budgets have been tightened because of rising living costs and higher taxes. This is also partly due to first time buyers finding it difficult get onto the property ladder and hundred per cent loans now being things of the past.

Please see the quick house sale guide to avoiding repossession if you need help in this area

Its been another busy week here at quick house sale. We have just completed a 3 purchases, one in the Wyke area of Bradford, one in Morley and another in Eccleshill. We have also been inundated with requests for valuations. We generally don’t provide this service but if we can help we usually do. With this is mind, if you would like help with your valuation please check the following post. http://quickhousesaleleeds.co.uk/value-your-house/