Conveyancer sees rise in cash buyers
UK conveyancing provider myhomemove, today reports that the number of people buying without a mortgage is steadily inching upwards, with nearly a quarter of its clients are cash buyers.
Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in C:\inetpub\wwwroot\2025.financialreporter.co.uk\htdocs\templates\front-end\partials\article_blockquote.php on line 2
"As the largest provider of conveyancing services in the UK, myhomemove is well placed to spot the trends within the housing market. Since 2010 we have witnessed the number of people buying without a mortgage steadily increase. In 2012, 22.5% of our clients were cash buyers, investing an average of £185,000 in property outside of London and £240,000 within the capital. Early figures for 2013 also show similar results."
Before the recession savers were able to earn on their investments, thanks to higher interest rates of between 5.25% and 5.75%. However since the recession and the Bank of England's decision to keep the base rate at 0.5%, savers are struggling to find a decent return on their investments.
Continuing Doug said: "Despite the poor performance of interest rates for savers, the property market can still offer a good return on investment. The average amount of rent paid for a three bedroom house in England, excluding London, is £670 a month. This means that on an investment of £185,000, the annual return will be close to 4.5% - interesting food for thought for those looking to make their money work for them during difficult economic times."
Breaking news
Direct to your inbox:
More
stories
you'll love:
This week's biggest stories:
Iress
Iress expands mortgage and protection distribution through new Access FS platform
FCA
Advice firm employees plead guilty after defrauding clients of £2m
Inflation
Inflation rises to 3.5% as mortgage rates outlook shifts
Atom Bank
Try Mortgage Network adds Atom Bank to residential mortgage panel
This week's biggest stories:
Iress
Iress expands mortgage and protection distribution through new Access FS platform
FCA
Advice firm employees plead guilty after defrauding clients of £2m
Inflation
Inflation rises to 3.5% as mortgage rates outlook shifts
Atom Bank
Try Mortgage Network adds Atom Bank to residential mortgage panel
FCA
MPs call for investigation into FCA's treatment of whistleblowers
Mortgage Rates
Average five-year fixed rate mortgage hits 6%