Nationwide reports that house prices moved by 0.7% in the month of March nearly wiping out the 0.9% drop reported in February.

Martin Gahbauer, Nationwide’s Chief Economist commented:

“The price of a typical UK property rose by a

seasonally adjusted 0.7% month-on-month (m/m) in

March, largely reversing the 0.8% m/m fall measured

in February. The smoother three month on three

month rate of inflation edged down further from 1.8%

in February to 1.6% in March. At £164,519, the

average price of a typical property is 9.0% higher

than a year earlier.

“The last two months are consistent with a relatively

flat profile for house prices, and in line with the

recent drops seen in buyer enquiries and house sales.

Preliminary figures show that the number of loans

taken out for house purchases failed to recover from

January’s large dip (chart 1), suggesting that

weakness in house sales at the start of the year may

have been due to more than just the snowy weather.

With greater than usual political and economic

uncertainty ahead of the upcoming general election,

potential homebuyers are proceeding cautiously. At

the same time, the number of homes for sale has not

increased appreciably, meaning that the impact of

lower buyer activity on house prices has not been too

negative. If this trend continues, we are likely to see

relatively few properties changing hands, but with

prices fairly stable.

Will stamp duty holiday boost the market?

“The Budget brought with it the surprise

announcement that for the next two years, the nil

stamp duty threshold will be raised from £125,000 to

£250,000 for first-time buyers. Based on

Nationwide’s sub-index for first-time buyers, this will

produce a savings of £1,368 for the average new

entrant into the property market. At a national level,

the vast majority of first-time buyers should benefit

from the holiday, though with the average London

house price at £243,163 for first-time purchasers, a

significant number of new buyers in the capital will

miss out on the savings.

 “For first-time buyers, this initiative effectively

represents a larger and longer version of the stamp

duty holiday in place between September 2008 and

the end of December 2009 for properties bought for

less than £175,000. Looking back on the previous tax

holiday, the evidence on its success in boosting

transactions is mixed. Intuitively, one might expect a

stamp duty holiday to boost total house purchase

activity, with a disproportionately greater increase in

transactions at the lower-priced end of the housing

chain.

“Over the course of the last holiday, there was indeed

a modest increase in house purchase transactions,

with most of the pick-up seen during the second half

of the exemption period (chart 2). However,

transactions remained well below normal levels

throughout and it is not clear how much of the pickup

was attributable to other factors such as the

record cut in interest rates. In addition, there was no

appreciable increase in transactions at the lower end

of the chain. The only exception to this was the last

month of the holiday (December 2009), when buyers

standing to benefit from the exemption rushed to

complete their purchase before the end of the year

(chart 3). This rush to complete is similar to what

happened during the stamp duty holiday introduced

in the early 1990s housing downturn.

“We of course do not know what the housing market

would have looked like without last year’s stamp duty

holiday, and it may well be that the level of

transactions would have stayed even lower for longer.

Undoubtedly this new measure will be welcome relief

for aspiring first-time buyers. However, based on

past experience it may not be enough on its own for

the housing market to make a full recovery.”

Lord Mandelson has announced today that the Post Office will be offering new mortgages at 90% LTV targeting the first time buyer market.

This is part of a range of new financial products that the Post Office will be pushing this year and next. They hope to double the size of their mortgage book over the course of 2010/11

The mortgage offering will be backed by the Bank of Ireland.

The auction held on the 24th March was as follows:

14 Lots in total:

6 sold on the day with 3 sold prior to the auction day and the remainder are available by contacting the auctioneers.

Manning Stainton are now looking for entries for their next auction.

Why not register with makeoffer.co.uk to keep up with their diary of auctions and to be given plenty of notification as to when the next sales are.

HMRC have confirmed what many thought that this February saw a rise in completed property sales of 14% up to 58,000 for last month.

Importantly this is higher than the 43,000 sold last February (2009) but falls a long way short of of the 103,000 completed sales in December 2009 when the government’s major incentives for the housing market came to an end.

Makeoffer questions the potential effectiveness of the Chancellor’s recent £250,000 stamp duty holiday for first time buyers due to the added complication that if a couple buy a house together and one is a first time buyer and one is not then the discount is void.

This is in a time when the average age of first time buyers is steadily rising due to the fact that it takes a long time to raise the necessary deposits, and therefore it is quite possible that one part of a buying couple has bought before.

The social implications obviously cover those who have divorced and are possible dividing assets and down sizing property wise are excluded as well at a time when every saving is essential as well. Or indeed those recently bereaved or the elderly potentially all groups who are replanning finances and are on fixed incomes.

How much more would it cost the government to just suspend stamp duty up to £250,000?

With 21 of their 40 lots sold on the day and a further 6 sold prior it was another successful day in the auction room for the firm.

The firm has a 13 office network across North Staffordshire and South Cheshire they are supported by a purpose built HQ in Stoke on Trent which looks after their 150 plus staff.

The results were:

65 Oxford Street, Penkhull, Stoke-on-Trent, ST4 7EQ Newcastle Sold £76,000

2 11 St Edmunds Avenue, Porthill, Newcastle-under-Lyme, ST5 0AB Newcastle Sold prior

3 69 Withywood Drive, Malinslee, Telford, TF3 2HU Stafford Sold £70,000

4 81 Withywood Drive, Malinslee, Telford, TF3 2HX Stafford Sold £75,000

5 93 Webb Crescent, Dawley, Telford, TF4 3DX Stafford Sold £53,000

6 67 Abbotts Road, Abbey Hulton, Stoke-on-Trent, ST2 8DU Commercial Postponed

7 Flat B, 210 Ruskin Road, Crewe, CW2 7JY Crewe Reserve not hit

8 43 Matlock Avenue, Dawley, Telford, TF4 2EL Stafford Sold £65,000

9 123 Springhill Crescent, Madeley, Telford, TF7 4DP Stafford Sold £74,500

10 41 Hills Lane Drive, Madeley, Telford, TF7 4BS Stafford Sold £82,000

11 Development Land, Church Street, Stone, ST15 8BL Stone Postponed

12 35 Peel Street, Wolstanton, Newcastle-under-Lyme, ST5 8BJ Newcastle Reserve not hit

13 11 Singleton, Sutton Hill, Telford, TF7 4JQ Stafford Postponed

14 46 Turreff Avenue, Donnington, Telford, TF2 8HE Stafford Sold prior

15 126 Willowfield, Woodside, Telford, TF7 5NX Stafford Sold 68,500

16 Plot to Rear of 214 Congleton Road North, Scholar Green, ST7 3HF Alsager  Reserve not hit

17 31 Meir Street, Tunstall, Stoke-on-Trent, ST6 6DD Kidsgrove Sold £45,500

18 139 Bembridge, Brookside, Telford, TF3 1NE Stafford Sold £63,500

20 154 Willowfield, Woodside, Telford, TF7 5NX Stafford Sold £66,000

21 6 Crossway, Crewe, CW1 4JW Crewe  Reserve not hit

22 78 High Street, Halmerend, Newcastle-under-Lyme, ST7 8AG Newcastle  Postponed

23 111 Century Street, Hanley, Stoke-on-Trent, ST1 5HY Hanley Sold £40,000

24 1 Palace Court, Tunstall, Stoke-on-Trent, ST6 6AL Hanley  Reserve not hit

25 45 Wilson Road, Hanford, Stoke-on-Trent, ST4 4QG Newcastle  Reserve not hit

26 209 High Street, Halmerend, ST7 8AA Newcastle Sold £90,000

27 54 Chambers Street, Crewe, CW2 6HJ Crewe Sold £57,000

28 18 Gloucester Road, Kidsgrove, Stoke-on-Trent, ST7 1EN Kidsgrove Sold £61,000

29 1 Victoria Street, Basford, Stoke-on-Trent, ST4 6EF Newcastle  Sold prior

30 151 High Street, Talke Pits, Stoke-on-Trent, ST7 1QQ Kidsgrove Sold £39,000

31 18 Withies Road, Trent Vale, Stoke-on-Trent, ST4 5QR Newcastle  Sold prior

32 Land at 1-3 Kirby Street, Cobridge, Stoke-on-Trent, ST6 2HT Hanley Sold £35,000

33 34 Rushton Road, Cobridge, Stoke-on-trent, ST6 2HE Hanley Sold £57,000

34 51-57 Uttoxeter Road, Longton, Stoke-on-Trent, ST3 1NY Commercial Sold £130,000

35 Land to the East Side of 13 Hughes Street, Burslem, Stoke-on-Trent, ST6 2HB Hanley Sold £8,000

36 Lawton Breakers Yard & Units, Lime Kiln Lane, Church Lawton, ST7 3AG Commercial  Reserve not hit

37 53 Second Avenue, Porthill, Newcastle-under-Lyme, ST5 8NU Newcastle  Sold prior

38 29/31 Fenpark Road, Fenton, Stoke-on-Trent, ST4 3JT Longton  Reserve not hit

39 206 Waterloo Road, Cobridge, Stoke-on-Trent, ST6 2HQ Hanley  Postponed

40 Plot Adjacent to 105 Crewe Road, Alsager, ST7 2JE Alsager  Sold prior

If you would like to speak with this company to discuss buying or selling at auction call 01782 261 511

Jessie Hewitson reported for the Sunday Times this weekend, http://tinyurl.com/ykt8755, on how sellers in the property markets may have to acknowledge that it is now a buyers market as more and more property comes to the market.

It maybe that reducing the price is one way to acheive a quick sale but with over one hundred auctions in the UK last month and with a similar amount month on month, vendors would be advised to look at this method of property selling as well.

It stands to reason that with the protection of a reserve and the finality of an auction as the hammer falls the sale is made. Often completion is in 28 days or a time period specified by the vendor so for many this will suit as a way of moving their home or investment property in timely fashion.

A well oublicised auction coupled with a good auctioneer can soon create a competitive atmosphere where desirable property can be sold.

Buying a home has become a pipe dream for millions of young Britons – with half believing they will have up to a decade or more before getting a foot on the property ladder, and only then with the help of their parents, according to a new poll.

The YouGov survey, commissioned by the National Housing Federation, revealed that 86% of 18-30 year-olds, who do not own their own home, could not currently afford to buy a home if they wanted to, despite recent falls in house prices.

A massive 83% of 18-30 year-olds, also thought buying a home was now more a dream than a reality for young adults. The Federation, which represents England’s housing associations, blamed a chronic shortage of affordable homes and a slump in the number of new homes being built for the gloomy outlook.

With huge deposits now needed to secure mortgages, young adults are becoming reliant on their parents’ help – and deep pockets – to help them secure their first property, with 54% admitting they would need financial help from relatives or generous friends to buy a home.

18% said they would need up to £10,000 from relatives or friends to afford a home, 28% thought they would need up to £20,0000, and 8% up to £40,000. One in ten (9%) claimed they would need £40,000 or more. Only one in four said they wouldn’t need any assistance.

The Federation called on all political parties to commit to building more homes for first time buyers and address the crippling shortage of new homes which has seen average house prices more than double over the last decade.

The poll also revealed that 37% thought they would have to wait up to 10 years before moving into their own property, with 12% thinking it could take up to 20 years. 6% thought they would never be able to afford a home.

Seven out of ten people said they would rent from a private landlord until they can afford to buy their own place, 11% said they would live with their parents paying rent, and 8% said they would live rent free – with friends or relatives.

The Federation said young people’s chances of getting a home were bleaker than ever after a year in which house-building slumped to its lowest level since 1923.

A record 4.5m people are on housing waiting lists in England, and rising unemployment and repossessions has further fuelled demand for affordable housing during the economic downturn. And a growing number of young people are now effectively excluded from the housing market.

The three main political parties should commit to tackling the housing crisis by granting housing the same “untouchable” status as the health, education and crime-fighting budgets in order to address the problem.

Federation chief executive David Orr said: “Young people are giving up hope of ever being able to afford their own home and who can blame them?

“The simple truth is we, as a country, have failed to build anywhere like enough homes to meet demand, which has sent house prices rocketing over the last decade and well out of reach of most young people.

“Banks are meanwhile demanding tens of thousands of pounds in deposits before even considering lending first time buyers a mortgage. For those without parents with the funds to help them – there’s virtually no chance of getting a rung on the property ladder.

“The three main parties must commit to building significant numbers of affordable homes for rent and sale to avoid locking an entire generation out of having their own home.

“The next government must view housing in the same terms as health, education and policing – and protect it from budget cuts, given the scale of the crisis.”

So Eigroup have done all their analysis on activity in the UK auction market.

And it shows that as makeoffer.co.uk believes that the market is good a strong and holding its own pretty much against last year with only a minor decline in activity of -2.7% on February 2009.

So February saw 3,282 lots offered with 2,376 of those being sold (72% of those offered being sold) This led to a total being raised of £330,347,541 for clients.

It was interesting to note that the month saw 104 sales being held in the UK. This shows even in the challenging times that makeoffer.co.uk and others have reported on in the beginning of the year with numbers of housing transactions being down and the market having suffered from everything from terrible weather to an impending election that the market sector is working hard to keep sales numbers up and the relevant auctions busy.

Thursday 18th March saw Thompson Wilson bring property auctions back to the town with their new venue.

Following the success of their property auctions in 2009 the sale was held at The Oak Room, The Old Town Hall, High Wycombe.

This was the first time for many years that property auctions had been held in the town. The Oak Room is the former council chamber, and with its oak flooring, oak panelled walls and stained glass windows will continue to provide an excellent venue for the firm’s property auctions throughout 2010.

Results for this auction were:

Lots Offered 8

Sold Prior 2

Sold in Room 6

100% success raising a total of £1,857,500

They are now accepting lots for their April auction and can be reached on 01494 474234 for advice and appraisal.