Connect with us

Current

Home loan for LESS than 1%: Are we in for a mortgage price war?

Voice Of EU

Published

on

Is the mortgage price war back? There’s a deal at LESS than 1% and new 95% loans for first-time buyers… but borrowers still face a grilling

  • Hinckley & Rugby BS will launch a two-year discount variable mortgage at 0.99%
  • Meanwhile, a raft of state-backed 95% mortgages went live on Monday 
  • Experts say the surge in offers is a vote of confidence in the housing market

A mortgage price war could be in the offing as banks flood the market with fresh deals. 

Hinckley & Rugby Building Society will launched a two-year discount variable mortgage at 0.99 per cent on Friday, the first sub-1  per cent rate in a year.

Meanwhile, a raft of state-backed 95 per cent mortgages went live on Monday, Nationwide is boosting the amount first-time buyers can borrow and Santander is relaxing criteria for the self-employed.

Top deal: Hinckley & Rugby Building Society has launched a two-year discount variable mortgage at 0.99 per cent, the first sub-1 per cent rate in a year

Top deal: Hinckley & Rugby Building Society has launched a two-year discount variable mortgage at 0.99 per cent, the first sub-1 per cent rate in a year

Experts say the surge in offers is a vote of confidence in the housing market and economy as the UK emerges from lockdown. 

Chris Sykes, of mortgage broker Private Finance, says that Hinckley & Rugby’s new deal underlines an ‘encouraging environment’.

He adds: ‘It is pitching for that competitive, high-quality, low-LTV clientele that lenders like to have on their books to lower the overall risk of their lending proposition.’

Most lenders are returning to the 95 per cent mortgage market with rates of around 4 per cent, but Sykes believes competition will drive this down.

This in turn will lead to lower rates on lower LTV products, he adds. This is because if there is little difference between the rate on a 90 per cent and 95 per cent mortgage, for example, borrowers will simply plump for the higher LTV offer to get a bigger deposit.

But Sykes says all eyes will be on whether lenders start bringing back rates below 1 per cent on fixed-rate mortgages.

Loyalty costs £1,000 a year 

Around three million loyal mortgage customers are at risk of being overcharged by up to £1,000 a year each.

Citizens Advice found 42 per cent of borrowers whose fixed-term mortgage had ended since the start of the first lockdown had not switched to a new deal, meaning they will have been automatically rolled onto their lender’s standard variable rate, costing more.

One in five borrowers said the switching process was too time consuming or difficult.

A spokesman for trade body UK Finance says: ‘Lenders will always contact customers before fixed-rate periods end.’

The best fixed rate is being offered by Platform – at 1.06 per cent for borrowers with at least a 40 per cent deposit. 

Mortgage availability has improved in the first three months of the year but is expected to rise further thanks to a reduction in mortgage rates, an increase in high LTV mortgages and an easing of credit criteria.

Rachel Springall, personal finance expert at Moneyfacts, says: ‘It’s great to see rate competition within the mortgage market but it is vital borrowers compare the overall true cost of any deal.

‘Competition can prompt other lenders to become more confident and react with their own deals to entice borrowers.’

There are now 110 deals that offer 95 per cent mortgages available to borrowers, including 38 under the government guarantee scheme.

In January 2020, there were 313 first-time buyer mortgages available for those with a 5 per cent deposit, but by June, these had all been pulled amid economic uncertainty. Now, the cheapest 95 per cent five-year fix is at 3.45 per cent with Barclays Springboard.

Among the deals that are part of the government guarantee, Halifax is offering the lowest rate with a two-year fix at 3.73 per cent, although it comes with a £999 fee. Natwest is offering 3.9 per cent with no fee.

Katie Brain, banking expert at finance data firm Defaqto, says: ‘Although there have been a few products that have been briefly available during the pandemic, this is the first time we have seen mainstream lenders in the high LTV market in nearly a year.

‘The new government backed mortgages are very competitive if you want a two-year fixed deal.’

Meanwhile, Nationwide will become the first major lender to allow first-time buyers with deposits of 10 per cent or more to borrow 5.5 times their salary when it launches its Helping Hand mortgage later this month.

It means a couple who are first-time buyers with a joint income of £50,000 and a 10 per cent deposit could borrow up to £275,000.

The deal will be for first-time buyers only, and the self-employed will be excluded. However, last week Santander said it would set aside the 2020-21 accounting period if those running their own businesses had been hit financially by the pandemic.

m.dilworth@dailymail.co.uk

Advertisement

Source link

Current

People in Weoley Castle, Birmingham are at ‘the end of their tether’ over massive pile of rubbish

Voice Of EU

Published

on

Neighbours are at ‘the end of their tether’ over massive pile of rubbish in council flat garden including fridges, trollies and furniture that has been growing for 10 YEARS

  • The garden in Weoley Castle, Birmingham, has been used as a dumping ground 
  • The pile of rubbish has been growing for over a decade and is now attracting rats
  • Next door neighbour Darren Holden, 52, said ‘something has to be done’ 
  • A video shows the garden overflowing with old mattresses, fridges and trollies 

Furious neighbours are fed-up after a council flat garden that has been used as a dumping ground for rubbish for more than a decade is now starting to attract rats.

Hospital worker Darren Holden, 52, from Weoley Castle in Birmingham, said he and his fellow neighbours are ‘reaching the end of their tether’ after the pile of waste, which includes fridges, trollies and furniture, has been building for 10 years.

Video footage of his neighbour’s garden shows a sea of discarded household appliances, including what looks like a bathtub and mattress, as well broken bits of wood scattered across the garden.

Mr Holden said the garden belongs to an elderly tenant who lives in the council flat above his own and is understood to have a medical condition.

The frustrated resident said: ‘The other neighbours and myself are just getting sick of it. We’re getting rats in our gardens and it’s getting worse and worse every year.

‘I’ve lived in the property for 14 years and I’d say this has been going on for up to ten years now. Some of the neighbours have to look at all the rubbish from their windows.

‘I’ve seen rats in my garden – my dog chased one off the other day.’

Darren Holden, 52, from Weoley Castle, Birmingham, is 'reaching the end of his tether' after the garden next door to his home has been used a dumping ground for more than 10 years. The ever-growing rubbish pile, which includes a fridges, trollies and a mattress, is now attracting rats.

Darren Holden, 52, from Weoley Castle, Birmingham, is ‘reaching the end of his tether’ after the garden next door to his home has been used a dumping ground for more than 10 years. The ever-growing rubbish pile, which includes a fridges, trollies and a mattress, is now attracting rats. 

Everyday Mr Holden has to walk through the rubbish-strewn garden to get from his home into his own garden.

Despite making a complaint to Birmingham City Council years ago, when the mound of waste first started to build, he heard nothing back.

He added: ‘It’s full of old fridge freezers with the doors taken off, air fryers, televisions, baby baths, old chairs, lots of wood, bed bases, chairs, glass – you name it, it’s in there.

‘I saw a shopping trolley from Asda in the road the other day then noticed the next day it was in the garden.

‘I have complained to the council before but nothing happened, I didn’t hear back. Then it just carried on getting worse.’

Broken bits of wood, household appliances and chairs are some of the items that have been chucked into the garden over the last decade. Mr Holden first made a complaint to Birmingham City Council years ago but he never got a response. The council has now said it has issued a warning to the tenant to clean the garden within the next 14 days.

Broken bits of wood, household appliances and chairs are some of the items that have been chucked into the garden over the last decade. Mr Holden first made a complaint to Birmingham City Council years ago but he never got a response. The council has now said it has issued a warning to the tenant to clean the garden within the next 14 days. 

Mr Holden said he does not want to cause any issues for the elderly man who owns the garden but wants the council to provide him with help to clean it up.

He added: ‘I’m at the end of my tether now and don’t know what to do. Enough is enough, people are getting fed up and I’m not putting up with it anymore.

‘I don’t want to cause any issues for the guy who lives there – he’s elderly and lives alone so he probably just needs some help. But something has to be done.’

The Weoley Castle garden is strewn with discarded fridges, trollies, furniture, household appliances, mattresses and broken bits of wood.

The garden is believed to be owned by an elderly man with a medical condition. Mr Holden said he wants the council to help the resident.

The council flat garden is believed to be owned by the elderly man who lives above Mr Holden. Mr Holden said he does not ‘want to cause any issues to the guy who lives there’ but added that something had to be done. 

Birmingham City Council said it has now contacted the tenant and issued a warning letter to clear the garden within the next 14 days.

A spokesperson for the council said: ‘We have been in contact with the tenant about the items left in their front garden and the impact this is having on the local community.

‘They have been issued with a warning letter to clear the garden in the next 14 days. We are working with the tenant to resolve this.’

Advertisement

Source link

Continue Reading

Current

Hundreds queue for one rental property in Dublin as Irish capital’s housing shortage in crisis

Voice Of EU

Published

on

Over 150 potential tenants queued to view a single rental property in Dublin last night as Ireland grapples with a housing crisis.

A long queue formed along St Brendans Road in Dublin on Tuesday night, with over 100 people queuing for a viewing at the three-bedroom house at 8.30pm. 

Within 30 minutes, even as the sun set, a further 50 people joined the queue to view the property, which costs €1,850 a month, in the city.

Conor Finn, who posted footage of the long queues, tweeted that he had waited for an hour in the queue before leaving without viewing the property.

‘An hour later and I’ve left the queue after no real movement or chance of viewing the house tonight,’ Finn said on Tuesday night at 9.30pm. ‘People were still joining the end of the queue as I left.’

Ireland’s economy is booming as the republic offers low corporation tax rates to tech and pharmaceutical companies such as Google – and pandemic-enhanced revenues from those companies has meant the republic is enjoying a €8bn corporate tax windfall.

But employees from these companies have flooded into the country, meaning the demand for properties in Ireland have soared. They are also able to afford to pay higher prices for houses and renting a property, meaning costs have soared.

This, coupled with a shortage of properties, has meant Ireland is facing a housing crisis and one estate agents in Dublin have even had to introduce a lottery system for viewings after they received 1,200 applications for one home.

Over 150 potential tenants queued to view a single rental property in Dublin last night as Ireland grapples with a housing crisis

Over 150 potential tenants queued to view a single rental property in Dublin last night as Ireland grapples with a housing crisis

A long queue formed along a street in Dublin on Tuesday night, with over 100 people queuing for a house viewing at around 8.30pm

A long queue formed along a street in Dublin on Tuesday night, with over 100 people queuing for a house viewing at around 8.30pm

A long queue formed along a street in Dublin on Tuesday night, with over 100 people queuing for a house viewing at around 8.30pm

Demand for rental accommodation in Dublin has grown from already sky high levels in recent months – to such a degree that Ireland’s largest private landlord could have recently filled a new apartment block 30 times over, its chief executive said on Thursday. 

Chronic supply shortages pushed Irish rental properties to a new record low this month, with just 716 homes available to a population of 5.1 million people as of August 1, property website Daft.ie said in a report on Wednesday last week.

Irish Residential Properties REIT (IRES) Chief Executive Margaret Sweeney told Reuters that it received 600 requests to view 20 new apartments it listed last month near Dublin’s city centre.

The 61-unit development was fully occupied within a week of the builders completing the project, she added.

‘We’re definitely seeing much greater demand, there is a real shortage of good available accommodation. We’ve seen it increasing month-on-month,’ Sweeney said in a telephone interview.

‘It’s coming through in the fundamentals, unemployment is even lower than it was pre-COVID, there’s been quite strong FDI (foreign direct investment). We’ve a very young population as well as less emigration than previous decades.’

Estate agents Brock Delappe in Dublin said they have been forced to operate a ‘lottery system’ when choosing who can view properties because they have been inundated with applications.  

Within 30 minutes, even as the sun set, a further 50 people joined the queue to view the property in the city.

Within 30 minutes, even as the sun set, a further 50 people joined the queue to view the property in the city

Within 30 minutes, even as the sun set, a further 50 people joined the queue to view the property in the city

Ireland is facing a housing crisis due to a shortage in houses coupled with soaring demand

Ireland is facing a housing crisis due to a shortage in houses coupled with soaring demand

David Brock, an estate agent at the firm, said that there have been 1,200 applications for a single property.

‘The knock-on of that is, while the rent is low, you can only rent it out to one person and then you have got 1,999 disappointed people,’ Brock told Newstalk

‘When we’re doing the lettings and it comes to that, we need to operate a lottery system, which is unfair as well. You meet a lot of people who are desperate.’ 

While Ireland built too many homes in the wrong places in the 2000s, supply has since constantly fallen short of demand and rents have long passed their previous peak, limiting prospective buyers’ ability to save a deposit.

A years-long mismatch between low supply and high demand in Ireland has been compounded by two shutdowns of the construction sector in the past 18 months to slow the spread of Covid-19.

The resultant stalling in the building of new homes and a high number of well-paid employees at tech companies moving to Ireland has contributed to house prices rising again and rents increasing. 

In 2009, there were over 23,400 homes available to rent in Ireland – nearly 8,000 in Dublin and 15,500 elsewhere. In contrast there were less than 300 homes to rent in Dublin and 424 elsewhere on August 1 this year. 

Ronan Lyons, who wrote the Daft.ie report, said: ‘A resurgent economy over the last year has accentuated the chronic shortage of rental housing in Ireland.

‘The shortage of rental accommodation translates directly into higher market rents and this can only be addressed by significantly increased supply.’

Last month, Irish officials claimed Britain’s Rwanda policy has triggered a surge in refugees arriving in Ireland, reports The Telegraph.

But that is just one factor – the Irish government said that the country has seen an increase of refugees due to the pandemic and the war in Ukraine.

The unprecedented number of refugees arriving in Ireland has put pressure on the country’s housing crisis, despite generous offers to host Ukrainian families.

The shortage of accommodation has become so critical that around 4,300 Ukrainian refugees are set to be displaced this month, reports the Irish Independent. They are being housed in hotels and hospital accommodation. 



Source link

Continue Reading

Current

Bluewater grows its entertainment offer (GB)

Voice Of EU

Published

on

Landsec has announced the opening of a third ‘UK first’ attraction at Bluewater, Kent as the destination expands its partnership with Hangloose Adventures. Skydive, a free-fall experience not found anywhere else in Europe, and the UK’s only outdoor skydive machine has opened at the centre. It follows on from Europe’s biggest purpose-built giant swing, standing at 46-metre tall, which opened at Bluewater earlier this month.  

 

The announcement builds on a successful first year for Hangloose’s initial attraction Skywire, the longest zip wire in England, which has welcomed 30,000 guests since launching at Bluewater last June. Landsec will continue to work with Hangloose to expand its offering, with up to five more experiences set to open at the centre by 2024: a bungee tower, giant slide, clip and climb, waterdrop boulding wall, and Via Ferrata, a route-marked climb using metal rails and rungs embedded in Bluewater’s cliff walls.

 

Mark Warne, Brand Account Director F&B and Leisure at Landsec commented: “Delivering new experiences which are unique to Bluewater is central to our overall offer for guests. Hangloose’s innovative concept raises the bar when it comes to leisure attractions and draws guests from across the UK to Kent. By partnering with Hangloose to grow their business and create shared value, we’ll be able to give guests even more exciting experiences every time they visit.”

 

Brian Phelps, MD of Hangloose Adventure, said: “Since the beginning, we’ve worked closely with Landsec to grow our leisure concept and drive performance, putting us in a unique position where we’re able to expand our offer after only a year. We’ve enjoyed great success at Bluewater so far and are already thinking about how we can provide even bigger and better experiences in the future.”

Source link

Continue Reading

Trending

Subscribe To Our Newsletter

Join our mailing list to receive the latest news and updates 
directly on your inbox.

You have Successfully Subscribed!