* seasonally adjusted

Commenting on the figures Martin Gahbauer, Nationwide’s Chief Economist, said:

“The price of a typical UK property rose by a seasonally adjusted 0.5% month-on-month (m/m) in May, following a 1.1% increase in April. The smoother 3 month on 3 month rate of increase rose from 1.1% in April to 1.7%, as February’s fall in house prices dropped out of the most recent three month average. The annual rate of house price inflation dropped from 10.5% to 9.8%, which reflects the weaker pace of increase in May 2010 relative to May 2009. Since reaching a trough in February 2009 – following a drop of 19.3% from their October 2007 peak – house prices have risen by 12.2% and are now just 9.5% below the October 2007 peak.

“Housing market conditions remain characterised by thin transaction volumes and a relative scarcity of properties for sale, despite a slow return of more sellers in recent months. The current supply-demand balance on the market is still consistent with relatively stable to modestly upward trending prices.”

Impact of capital gains tax changes on house prices depends on timing of implementation

“The coalition agreement between the Conservatives and Liberal Democrats contains plans to increase the rate of capital gains tax (CGT) charged on the disposal of non-business assets, potentially including second homes and buy-to-let investment properties. Currently the CGT rate on such assets is 18%, and the coalition plans are to raise the rate to a level “similar or close to those applied to income.” Precise details, however, will not be known until the Emergency Budget announcement on 22 June.

“With regard to what the short-term impact will be on the housing market and house prices, the key question is around the timing and implementation of any CGT increase. If there is a significant time lag between the announcement of the increase and its actual implementation, then some second home owners and buy-to-let landlords may decide to sell in advance of the higher rate being introduced. Such a development could lead the supply-demand balance to shift more in favour of buyers and relieve the current upward pressure on house prices. However, it is difficult to know with any precision how many people would bring forward a decision to sell.

“The incentive to try to beat the higher tax rate is most pressing for those who have owned their properties for a relatively long period of time and therefore have relatively large unrealised gains. Conversely, those who bought their second homes or investment property within the last five years have little incentive to sell early in order to beat the tax change. House prices have only risen back to their mid-2006 level and the first £10,100 of capital gains is currently tax free.

“If the new rate comes into effect immediately on 22 June, then supply conditions are unlikely to be affected materially as any potential sellers would not have time to react.

“There are some examples of where tax changes have had a significant short-term impact on the housing market. Most prominent was the March 1988 announcement to end double Mortgage Interest Relief At Source (MIRAS) for cohabiting couples. The implementation of the tax change was postponed until August of that year, which prompted a rush of buyers to try to beat the deadline. The result was a temporary surge in property values, with house prices increasing by 18% between Q1 1988 and Q3 1988 alone.

“However, the most recent change in CGT rates announced in the 2007 Pre-Budget Report did not have any discernable impact on the supply of property on the market. At the time, the existing CGT rates of 24-40% – depending on taper relief and income status – were cut to a flat rate of 18%. New instructions to sell property remained very low even after the tax changes were introduced, although this may also have been due to the very weak market conditions prevailing at the time.”

Monthly UK House Price Statistics

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* seasonally adjusted

Commenting on the figures Martin Gahbauer, Nationwide’s Chief Economist, said:

The price of a typical UK property rose by a seasonally adjusted 1.0% month-on-month (m/m) in April, leaving house prices 10.5% higher than a year earlier. Over the lifetime of the last Parliament (May 2005 to April 2010), house prices have risen by 6.7%. This compares to a 13.5% increase in the consumer price index, the official target measure of inflation.

April’s figures show the first double-digit annual growth in UK house prices since June 2007. The year-on-year rate in this month’s figures, however, received an additional boost from the fact that April 2009 was one of the weaker months last year. Given the very strong performance of house prices from May 2009 onwards, it will take monthly increases in excess of 1% for the annual rate of inflation to be maintained in double digits going forward. The smoother three month on three month rate of inflation edged down further from 1.5% in March to 1.1% in April, which primarily reflects the impact of February’s 1.0% decline in house prices. April’s figures leave UK house prices exactly 10% below the October 2007 peak.

For further information please see  April 2010 report (PDF 64KB).

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According to Iranzo, the banks are sitting on 100,000 of Spain’s 700,000 unsold new homes, which they will now have to dump on the market. Thanks to new rules from the Bank of Spain forcing banks to increase their provisions on unsold properties, which took effect in January, Iranzo also expects the banks to drop their prices in search of sales. He pointed out that banks need to improve their balance sheets by selling property, though it is unclear how selling property at a loss will help do that.

What green shoots?

There has been some talk recently in the mainstream Spanish media about an incipient recovery in the housing market, but according to Iranzo the housing sector will get “quite a lot worse” this year, thanks to the recession and increasing unemployment. “The outlook doesn’t favour the house purchases,” remarked Iranzo. He warned that prices still have room to fall, and that interest rates will go up towards the end of the year, putting further pressure on prices.

“Never again”

A glut of newly-built properties isn’t the only problem the market is having to deal with. Demand has also retrenched massively, and may not pick up until 2012 or 2013, says Iranzo.

When does he expect demand to return to the boom levels of 700,000 homes a year? “Never again,” says Iranzo, who expects demand to stabilise around 450,000 homes per year in 2012.

It is important to note that Iranzo is basically talking about the market for primary housing in and around Spanish cities, not holiday homes on the coast. Some experts expect the quality holiday home market to recover much quicker, thanks to supply limits and internationally diversified demand.

Link to original article and more Spanish property information

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Surveyors in the West Midlands, East Midlands, Wales and Scotland predict that the end of the holiday will have a “detrimental effect” in areas that are yet to see a recovery from the recession, and widely expect to see a drop in market activity when the threshold reverts back to its previous ways. The temporary stamp duty holiday was implemented in September 2008 and will finish at the end of the year.

The 1% tax will be reintroduced for properties sold over £125,000 compared with the £175,000 currently in operation, with The Royal Institution of Chartered Surveyors calling for the tax to be restructured. The Council of Mortgage Lenders calculates that 132,500 houses that were bought funded with a mortgage had escaped paying stamp duty in the past year.

“This is one of those situations where we will have to wait and see what the long term affects are to the housing market, but there can be no doubt that the stamp duty holiday has been a huge help to various regions in the UK,” says Laurence Smith of Decision Homebuyers. “People looking to sell a house quick or who are looking to buy a property are now working under different market conditions, and will have to cater their budgets accordingly as a result.”

To find out more about Decision Homebuyers and their services:
Please call 08456 341 456
or visit: http://www.decisionhomebuyers.co.uk/

About Decision Homebuyers:
Established in 2006 and specialising in fast property purchase, Decision Homebuyers are experts in their field. Decision Homebuyers can buy your house fast and guarantee to make cash offers on all types of residential and commercial property, no matter what the condition.

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LONDON, ENGLAND, December 02, 2009
Customers taking out Sainsbury’s Home Insurance qualify for Double Nectar points on their Sainsbury’s shopping for two years

Over the past year in order to save money, one in four people have cancelled or not renewed their home insurance. Sainsbury’s Home Insurance is warning people not to go without home insurance as it could have disastrous consequences leaving them in further financial dire straits. To help pay for their home insurance, Sainsbury’s Finance is urging people to spread the cost of cover over a year, something it does not charge customers for doing. However, its research reveals that 68% of policies do.

Ben Tyte, Sainsbury’s Home Insurance Manager, said:
“In the current economic environment many people are looking to dumb down on their insurance or do away with it completely in order to save money. However, this is a false economy because if disaster strikes they could be left in ruin. Rather than risk inadequate cover, they should shop around for better deals – it is possible to find quality cover at a competitive price – and find a policy that does not penalise them for paying on a monthly basis.”

However, when reviewing policies, Sainsbury’s home insurance warns that it is very important to look closely at the quality of cover being offered. For example, its research reveals that only 8% of home insurance policies offer unlimited buildings cover and only 12% offer a no claims discount of up to 30% or more. Furthermore, less than one in ten (8%) policies provide no claims discount protection. These are all features offered by Sainsbury’s Home Insurance.

Sainsbury’s shoppers are rewarded with double Nectar points on their shopping in store, online and in petrol filling stations for two years when taking out Sainsbury’s Home Insurance. For example, customers who spend GBP50 a week with Sainsbury’s and have Sainsbury’s Home Insurance as well as a Nectar card would receive GBP52 worth of Nectar points a year.

About Sainsbury’s Home Insurance:
As well as being competitively priced, the bank also offers an extensive range of cover and benefits. This includes:

Unlimited buildings cover
Unlike some home insurers, Sainsbury’s Bank does not apply charges for customers paying their premiums by direct debit
Maximum no-claims discount of up to 30%
No-claims discount protection
Cover for accidental damage – even by pets
Sainsbury’s provide a wide range of financial services including credit cards, loans, personal loans, savings account, pet insurance, life insurance, home insurance and car insurance, visit www.sainsburysbank.co.uk now to find out more

For further information, please contact:
Phil Anderson / Ian Morris
Citigate Dewe Rogerson
020 7282 1031/1037

Notes:
(1) Defaqto research commissioned by Sainsbury’s Finance, September 2009
(2) ABI, June 2009
(3) Dependent on the number of years you have remained claimed free
(4) Terms and conditions apply – additional premium required
Sainsbury’s Home Insurance is underwritten by St Andrews Insurance ltd.

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CAMBRIDGE, ENGLAND, November,  2009 

Andrew thinks more business incubators are needed for start-up and fledgling companies rather than traditional office space. He warns that Cambridge will have to diversify in the future, and reduce its reliance on the R&D and professional services sectors.

Andrew said that the digital and media sectors are far more relevant, and they are going to require a different focus in terms of property. He feels that the market needs to develop its technology centres so that business can function successfully in the 21st Century.

Difficulties arise when smaller traditional office units are occupied by companies that experience rapid growth. It is these fast-growing companies that need flexibility rather than to be restricted by traditional lease structures. A solution needs to be found to enable such businesses to develop and change quickly.

Andrew said:
“Old fashioned lease structures, where tenants take on a lease for a lengthy period of time, have disappeared for good. It is now important to look at new flexible lease structures. However, this will present difficulties for developers and investors resulting from a lack of certainty of income.

“From my experience, most occupiers will pay more for flexibility and operational efficiency which will result in higher rents per square foot. It is a question of changing the mindset of landlords.”

Andrew sees diversity as the key to future economic growth, and believes there is now a pressing need for a new type of building to meet demand.

The next stage is to consider how to invest in property offering flexible terms, as many companies don’t wish to occupy traditional buildings. Fast growing companies need buildings that will evolve with product development, and following ongoing investment present a better whole life cost.

Andrew goes on to say:
“Developers have provided bespoke buildings in the past, but in these turbulent times investment and funding markets are going to have to get their heads around the implications before they appreciate the opportunities. That said, I don’t believe speculative building will return for at least 12 months. We will need to demonstrate that occupier demand has returned before that happens!

“The banks haven’t been doing any major lending in the commercial property sector recently, and, going forward, they will be looking for developers to take more risk and put more money into projects. A traditional approach, but one that is unlikely to facilitate the changing face of commercial property.”

Andrew Gordon
Director
Lambert Smith Hampton
Cambridge Office
Tel: 01223 276336
Email: agordon@lsh.co.uk

Lambert Smith Hampton (LSH)

LSH is a leading commercial property consultancy with an unrivalled national network focused on the UK and Ireland property markets. Its expert teams deliver a full spectrum of transactional and consultancy services and business-driven solutions for clients. LSH is the ‘UK’s most active national agent’ and ‘Top National Office and Industrial Agent’ (Estates Gazette’s ‘EGi Deals Competition’).

Lambert Smith Hampton’s (LSH) Cambridge office is a commercial property consultancy providing property services and advice in Cambridge, the surrounding area and nationally. With LSH clients have the added advantage of each office being backed by the strength of a national office network. For clients, this means 10 key divisions and over 850 professional staff working together to address the commercial property difficulties you may face, anywhere in the UK.

Lambert Smith Hampton is a founder member of the Elite Cambridge Business Circle.

6 Wellbrook Court
Girton Road
Cambridge
CB3 0NA
UK

Tel: + 44 (0) 122 327 6336
Fax: + 44 (0) 122 327 6226

http://www.lsh.co.uk

For more information contact:
Andrew McGahey
Director, Head of Cambridge Office
Lambert Smith Hampton

Tel: 01223 276336
Email: amcgahey@lsh.co.uk

Issued by:

Murdoch MacDonald
Fame Publicity Services
E-mail FamePublicity@gmail.com
Web: http://www.famepublicity.co.uk

http://www.CambridgeshireBusinessNews.com

Telephone: 01292 281498
Mobile: 07833 667322

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As part of a commitment to the environment and the reduction of their carbon footprint, GardenSupplies.co.uk are offering customers the opportunity to claim five free tree seedlings worth £10.00 with every order placed over £40.00.

Running from 16th November 2009 to 31st March 2010, qualifying customers will have the option of selecting from 11 different species; including English Oak, Ash, Green Beech, Silver Birch, Field Maple and Norway Maple, with the trees supplied as bare-rooted seedlings, 2-3ft in height.

Andrew Henderson, Managing Director, keenly explains the reasoning behind the scheme:
“Since the launch of our business, we have always been acutely aware of our carbon footprint, and have worked hard to minimise such where possible. The free trees promotion is an extension to that commitment, and presents a tangible benefit to our customers.”
“The planting of trees not only takes in carbon dioxide, but creates oxygen – which is why trees are widely regarded as the lungs of the earth. Not only that, but trees can make a marked improvement to the look and feel of a garden, and our primary aim is to ensure that customers get the very best from their garden. The trees would also make a very thoughtful gift for the gardener who has everything,” he added.

Further information on the promotion can be found at the following address: http://www.gardensupplies.co.uk/content/free-trees.aspx

About GardenSupplies.co.uk:
Launched by husband and wife team Andrew and Zoe Henderson, GardenSupplies.co.uk has been developed to provide an extensive range of quality garden supplies for every gardener.
With the provision of first-rate customer service at the core of the e-commerce operation, GardenSupplies.co.uk dedicates itself to complete customer satisfaction.

The inclusion of a no quibble, free of charge return policy allows customers to purchase with abundant confidence, whilst the implementation of carefully selected secure technologies safeguard every transaction.

With an extensive and exciting range of over 900 products that cover all aspects of gardening – from Grow Your Own products from the likes of Burgon & Ball, Haxnicks, Garland and Stewart Garden Style, to organic compost from Vital Earth, and ranges of garden footwear and gloves from Town & Country and Laura Ashley – GardenSupplies.co.uk offers products that will allow customers to grow, decorate and maintain their outdoor space, but, above all, allow them to get the very best from their garden and contribute to the enjoyment of spending time within it.

With three fully functional warehouses and efficient order processing and stock management systems, all orders are picked, packed and dispatched without unnecessary delay.

Press Release Contact Details:

Garden Supplies Ltd.,
Norton Road, Snitterby, Gainsborough, Lincolnshire, DN21 4TZ
Telephone: 01673 818046
Fax: 01673 818444
E-mail: enquiries@gardensupplies.co.uk
Web: www.gardensupplies.co.uk

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The annual change stands at minus 3.4 per cent. This is the sixth month in a row in which the fall in annual change has decreased. The average house price in England and Wales is now £159,546.

All regions in England and Wales experienced a decrease in their average property values over the last 12 months. The region with the most significant annual price fall was the West Midlands with a movement of  minus 6.3 per cent. The North West experienced the greatest monthly rise with a movement of 1.9 per cent. Wales was the region with the most significant monthly price fall with a movement of minus 2.3 per cent.

The most up-to-date figures available show that during August 2009 the number of completed house sales in England and Wales rose by 11 per cent to 53,236 from 48,109 in August 2008. Transaction volumes, while no longer falling at 2007 rates, remain relatively low.

For more information and to view the report in full, visit www1.landregistry.gov.uk/houseprices/

Notes

1. Since 2006, Land Registry’s House Price Index (HPI), which is available free at www1.landregistry.gov.uk/houseprices/ has gathered its own momentum to become a leading indicator of property movement within England and Wales. It is widely viewed as “the most accurate barometer of the housing market”.

2. The HPI is published on the twentieth working day of each month. The November index will be published at www1.landregistry.gov.uk/houseprices/ at 11:00 hours on Friday 30 December 2009.

3. The HPI uses a sample size that is larger than all other statistical measures available. It is calculated using Land Registry’s dataset of all residential property sales completed in England and Wales since January 1995.

4. Land Registry’s dataset contains details on 15 million residential transactions. Of these, over five million are identifiable matched pairs, providing the basis for the repeat sales regression analysis used to complete the index. This technique of quality adjustment ensures an “apples to apples” comparison between properties.

5. With the largest transactional database of its kind detailing over 22 million titles, Land Registry underpins the economy by safeguarding ownership of many billions of pounds worth of property.

6. As a government department established in 1862, executive agency and trading fund responsible to the Lord Chancellor and Secretary of State for Justice, Land Registry keeps and maintains the Land Register for England and Wales. The Land Register has been an open document since 1990.

7. For further information about Land Registry visit www.landregistry.gov.uk

Contacts

Marion Shelley 020 7166 4543

marion.shelley@landregistry.gsi.gov.uk
Esther McWatters 020 7166 4487

esther.mcwatters@landregistry.gsi.gov.uk
Press Office 020 7166 4215

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auctionmove.co.uk will provide estate agents with the opportunity to add an auction arm to their existing business, without impacting on commission.

Estate agents will also be able to have a branded presence on auctionmove.co.uk, generating valuable exposure for both the brand and for properties that are proving difficult to sell through the traditional estate agent route.

In the same way that a traditional auction works, auctionmove.co.uk will invite motivated purchasers to bid on a carefully chosen selection of residential and commercial properties, as well as land and development opportunities.

Buyers can bid anywhere, at anytime and at the end of the auction, if the reserve price is met, the highest bid wins the property.

auctionmove.co.uk’s experienced staff will always be on hand to help with any enquiries relating to the properties or the auctions.

Promising a competitive bidding process and sales that will be completed within 28 days, auctionmove.co.uk is a useful tool for buying and selling property online, whilst also being extremely helpful for estate agents.

Every property on auctionmove.co.uk is also advertised on rightmove.co.uk, the UK’s largest property website, which provides a steady throughput of traffic to the website.

Lisa Obertelli, Sales Director of auctionmove.co.uk, said: “We hope that by providing this service, estate agents will feel they can place their properties on our website. It allows an additional form of advertising for estate agents who are looking for new promotional avenues in a difficult market, with our property finder.

“We offer an auction service for estate agents, as well as offing any estate agent from anywhere in England the opportunity to advertise and promote through our website.

“We envisage this becoming an extremely useful tool for estate agents that will aid many stifled sales in the estate agency industry.”
For more information visit www.auctionmove.co.uk

Press Release Contact Details:

Andrew Barton Corby House, 38 Chorley New Road, Bolton BL1 4AP 01204 399440 auctionmove@inspia.co.uk www.auctionmove.co.uk

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