US Economics Weekly Is consumption still as sensitive to house prices? The second downward leg in house prices, which began last year, is likely to have a smaller impact on consumer spending than the initial plunge both in proportionate and absolute terms. Nonetheless... 10th January 2011 · 1 min read
UK Housing Market Data Response Bank of England Credit Conditions Survey (Q4) Today’s Credit Conditions Survey showed that in both the housing and commercial property markets lenders have continued slowly to improve the volume of credit that is available, if not its terms... 6th January 2011 · 1 min read
UK Housing Market Chart Pack Fewer willing sellers won't prevent prices from falling There have been tentative signs that prospective vendors are being deterred from bringing their properties to the market by renewed price falls. But even if supply contracts further, a combination of... 5th January 2011 · 1 min read
US Housing Market Data Response Mortgage Applications (Dec.) The recent improvement in economic conditions has done little to support housing demand, with mortgage applications for home purchase in December remaining close to historically depressed levels. With... 5th January 2011 · 1 min read
UK Housing Market Data Response Mortgage Lending (Nov.) The Bank of England’s measure of mortgage approvals for house purchase rose for first time in seven months in November. However, mortgage lending remains incredibly low by historical standards. This... 4th January 2011 · 1 min read
UK Housing Market Data Response BBA Mortgage Lending (Nov.) The decline in mortgage market activity continued in November. Approvals for house purchase dropped to their lowest level for twenty months. With lenders’ funding issues set to persist, if not... 23rd December 2010 · 1 min read
UK Housing Market Focus The FSA's responsible lending proposals; "a step too far"? Claims that the FSA’s responsible lending proposals will do lasting damage to the size and structure of the mortgage market assume that the historically high gap between house prices and incomes is... 22nd December 2010 · 1 min read
UK Housing Market Update Is now a good time to buy residential property as an inflation hedge? Growing fears about the inflation outlook do not improve the case for buying residential property at the present time. Given how high real house prices currently are, we think that it would be unwise... 16th December 2010 · 1 min read
UK Housing Market Data Response FSA Mortgage Lending Statistics (Q3) Today’s FSA lending data confirm that mortgage lending criteria remained very tight in the third quarter. And while arrears and possessions improved as expected, the full impact of public sector job... 14th December 2010 · 1 min read
UK Housing Market Data Response RICS Housing Survey & CLG House Prices (Nov/Oct) Uncertainty stemming from the impact of the public sector spending cuts on the labour market, combined with the continued restrictions on mortgage supply, is taking its toll on the housing market. Two... 14th December 2010 · 1 min read
US Data Response Negative Equity (Q3) The fall in the proportion of homeowners in negative equity in the third quarter offers little comfort since it was driven by foreclosures rather than a rise in prices. The second downward leg in... 13th December 2010 · 1 min read
UK Housing Market Update Should the shift towards repayment mortgages be welcomed? The increased share of first-time buyers on repayment mortgages should be welcomed. The high level of interest-only lending during the boom years contributed to the unsustainable gap that opened up... 10th December 2010 · 1 min read
China Economics Update Strong credit growth stokes expectations of tightening Today’s data showing continued rapid lending and very strong import growth will do nothing to calm market concerns that monetary policy in China is falling behind the curve. A rate hike seems imminent... 10th December 2010 · 1 min read
UK Data Response Halifax House Prices (Nov.) The underlying downward trend in house prices on the Halifax measure accelerated in November. With the debate as to whether house prices are falling settled, the issue now is how severe future falls... 9th December 2010 · 1 min read
UK Housing Market Chart Pack Second leg of the correction will continue in 2011 (Dec 10) Most measures of housing market activity worsened last month. Given that economic growth is likely to be sluggish and a fresh rise in unemployment is on the cards, we do not expect activity levels to... 6th December 2010 · 1 min read
US Economics Update Rebound stalls The housing market recovery appears to have stalled before it even really began. Home sales fell back in October and the renewed downward trend in prices appears to have gathered pace. This is all... 2nd December 2010 · 1 min read
