UK Housing Market Update First thoughts on the revised Mortgage Market Review The FSA’s proposals to put a revised affordability test at the centre of the mortgage underwriting process will not dampen materially further the flow of mortgage credit from today’s subdued levels... 19th December 2011 · 1 min read
UK Housing Market Data Response FSA Mortgage Lending Statistics (Q3) FSA data released this morning suggest that credit conditions are acting as a brake on housing activity and therefore are probably putting downwards pressure on house prices. Consistent with that, the... 13th December 2011 · 1 min read
UK Housing Market Data Response RICS Housing Market Survey (Nov.) The latest RICS Housing Market Survey reported a slight moderation in the pace of house price falls in November. Yet the stock of unsold properties neared a threeyear high this month, suggesting that... 13th December 2011 · 1 min read
US Housing Market Chart Pack High credit hurdle hampering housing Housing market activity has improved in recent months, with both new and existing home sales rising in October and homebuilding activity holding on to its previous gains. This has yet to translate... 8th December 2011 · 1 min read
UK Housing Market Data Response RICS Lettings Survey (Oct.) A rise in supply and an easing in the pace of tenant demand growth led to a softening in rental value growth in the three months to October. That trend is likely to continue as affordability... 7th December 2011 · 1 min read
US Housing Market Data Response Mortgage Applications (Nov.) November’s rise in mortgage applications for home purchase are a glimmer of hope that record low mortgage rates and the improving labour market are finally having some positive effect on housing... 7th December 2011 · 1 min read
UK Housing Market Update Are high rental yields supporting house prices? One explanation for why house prices have remained fairly well supported over the past year or two is that rental yields look attractive compared to the alternatives. Yet the track record of such... 7th December 2011 · 1 min read
US Housing Market Data Response CoreLogic House Prices (Oct.) After having stabilised during the summer, in the three months to October prices on the CoreLogic index fell at an annualised rate of 7.5%. This is clearly disappointing when the domestic economy... 6th December 2011 · 1 min read
UK Data Response Halifax House Prices (Nov.) This month’s fall in the Halifax house price index was hardly a surprise given other recent, downbeat economic news. And with the labour market weakening rapidly and the economy on the brink of... 6th December 2011 · 1 min read
UK Housing Market Chart Pack Bleak economic outlook to weigh down on activity Buyer demand improved on a number of measures this month. However, with the chance of a new recession in the UK mounting by the day, we do not expect activity levels to improve significantly next year... 5th December 2011 · 1 min read
US Housing Market Data Response Case-Shiller House Prices (Q3) House prices were still falling in the third quarter and we don’t think that they’ve stabilised in this quarter either. Even when prices do reach their trough, which could be next year, a continued... 29th November 2011 · 1 min read
UK Data Response Nationwide House Prices (Nov.) & Mortgage Lending (Oct.) The Nationwide house price index remains surprisingly resilient in the face of falling confidence and weak mortgage demand. But with the labour market now deteriorating rapidly, the balance of risks... 29th November 2011 · 1 min read
US Housing Market Data Response New Home Sales (Oct.) The 1.3% m/m rise in new home sales in October was not especially encouraging given that it came at the expense of a 3.3% downward revision to the previous month’s numbers. More generally, new home... 28th November 2011 · 1 min read
UK Housing Market Data Response Land Registry Repeat Sales Index (Oct.) Today’s data from the Land Registry show that house prices in London fell for the second consecutive month. While those falls could yet be reversed, the drop in London prices seems consistent with the... 28th November 2011 · 1 min read
Asia Economics Focus Is emerging Asia experiencing a property price bubble? Although Asia as a whole is not experiencing a property price bubble, we believe that prices in Hong Kong and Taipei are now in bubble territory. There is a growing risk of a sharp correction in these... 25th November 2011 · 1 min read
UK Housing Market Focus Why housing equity amplifies, not smoothes, the house price cycle For a time at least, rising house prices can be a virtuous circle, as equity gains provide the support for further house price growth. But if house prices fall, equity is destroyed while debt remains... 24th November 2011 · 1 min read
