Last year saw UK property prices rise by 7.5%, with a record number of homes sold at £1million and above. With supply remaining limited, growing demand for UK property is a trend that is showing no sign of abating in the year ahead.
The financial crisis made it harder for homebuyers to get access to finance, therefore property prices stagnated for some time. However, as the economy picks up again, we’ve noticed a number of high street lenders re-entering the market in response to a high demand for finance at the top end of the market. Post 2008, most buyers looking to put their foot on the £1million plus ladder had to secure finance from the private banks as opposed to the regular household lenders, such as NatWest, Santander, Virgin, Halifax and Woolwich who have now re-entered this market.
This is great news for buyers, as the emergence of more lenders is likely to increase competition and lower rates. Lenders will be marketing their deals as favourably as possible, and buyers will be spoilt for choice.