Does the Mortgage Market Review have some benefits?

Undoubtedly, the Economic Crisis of 2008 has had a large impact on the property market and has made it much harder for people to buy homes. People are struggling to be granted a mortgage due to the lack of money in the economy, some estate agents feel that this has had a devastating effect for potential home buyers. Since the 2015 Mortgage Market Review two thirds of estate agents report a decrease in home buyers according to the NAEA.

 According to Mark Hayward, managing director, National Association of Estate Agents:

“A drop in the number of buyers is the direct result of a slow-down in acceptance of mortgages, with it now taking an average of 50 days to receive a mortgage offer. This increases the risk that sales won’t go through and puts unnecessary pressure on any chain transactions.

A drop in the number of buyers is the direct result of a slow-down in acceptance of mortgages, with it now taking an average of 50 days to receive a mortgage offer. This increases the risk that sales won’t go through and puts unnecessary pressure on any chain transactions.”

*Figure from the NAEA’s March 2015 Market Report

But the decline in home buyers could make it the perfect opportunity for any property developers to come and purchase new properties to add to their portfolio. As previously noted there may be stricter guidelines on being granted a mortgage but for experienced property owners and developers this could be a fantastic opportunity to take advantage of lower house prices. Whereas, inexperienced property buyers may be struggling to get a mortgage grant, developers have the opportunity to widen their horizons and renovate a property for rental or even possibly to re-sell for a profit. Mortgage loaners are more likely to accept previous home buyers and this gives you the chance as a developer to get ahead of other first time property buyers and take advantage of the Mortgage Market Report. The lack of home buyers has led to a rise in those who are looking to rent properties which is another way for experienced buyers to take advantage of the decline in people buying homes.

Open House is a large online estate agent that allows their clients to both sell and buy properties on a national scale. They are a bespoke company and give the correct type of service to allow any experienced or first time buyers to browse and purchase a certain property in an area of their choice. For ant further information about Open Houses services or to understand how they can help you with your property search please click here.