800,000 households in negative equity

More than 800,000 households are currently in negative equity, this represents 7.3% of all homes with a mortgage and according to a new report the number could rise significantly if house prices drop further. Negative equity happens when the loan secured on a property is greater than the value. The number of homes in negative equity has increased over recent years due to the fall in house prices combined with lenders historically offering mortgages at high loan to values, sometimes over 100% of the value of the house. Worrying data The new figures have been produced by mortgage administrators Homeloan Management Limited (HML) ...

New survey shows only London escapes falling house prices

The latest house price survey by the Land Registry has shown that prices have fallen in every region of England and Wales, except London, over the past year. According to the Land Registry the average price of a home in England and Wales is now £163,049, up by 1.3% in the month of July, but still down by 2.1% on this time last year. The Land Registry said: “This is the largest monthly movement since January 2010." Regional Trends As always the figures show house prices moving in different directions depending on location. For example house prices in the North East of England showed ...