Many people could find it even more difficult to sell their homes

A recent report has shown that many homeowners in the London area could find it increasingly difficult to sell their homes in the near future, as a result of new plans that may be introduced to force homeowners to inform potential buyers about the risk of flooding. It is already very difficult for many homeowners to sell their properties due to problems in the mortgage and housing markets, and this could matters even worse for many more. Read more

Tags: risk, housing markets, interest, mortgage, danger, housing, flooding, United Kingdom

100 per cent-plus mortgages safe

A predicted slow down in house prices should not dampen the optimism for 100 per cent plus mortgages, experts have claimed.

Bestinvest, a financial advice firm, claim that even if house prices stabilise, 100 per cent borrowers will not be at risk of negative equity.

However, the company maintains that this type of borrowing is not for everyone and advice should be sought before taking up such a loan.

Peter O’Donovan of Bestinvest said: “Eventually house prices will continue to increase. And hopefully as they pay off their mortgage, of course, they reduce that burden on the loan-to-value.”

He added: “It’s down to affordability – speaking to a client, getting to know them properly and being able to recommend these sorts of products knowing that you aren’t putting them in any sort of danger.

“Lenders themselves do say ‘no’ if they don’t think its right. They don’t want to have to repossess in a year’s time, it’s not good business.”

However, the Royal Institution of Chartered Surveyors warned that there may be a one in ten chance of a housing market crash in the UK.

Tags: housing market crash, danger, donovan, equity, risk, lenders, Mortgages, percentage