Homeowners that have had difficulty getting a remortgage due to a lack of equity should be encouraged that property values may be sitting on a safety net throughout the rest of the year.  Experts believe that lending for purchases will be boosted in the next few months as hopeful buyers take advantage of the low interest rates currently available from lenders.  Those experts forecasting future house prices have been fairly optimistic with expectations from flat to a small increase.

The latest information from online property lister Zoopla.co.uk is that in the last 12 months the average Britain house price increased by £3,373.  The average house price is £226,369 which is down from what it was three months ago but it is better than one year ago.  The overall average total is boosted by London house prices which have remained strong.  Prices in London have risen at a faster rate than any other regions.  The average value of a property in London rose by 7.3% in the amount of £30,259 over the past 12 months.

Lawrence Hall of Zoopla.co.uk remarked on the current house prices saying, “It’s been a relatively flat but stable year for house prices with most parts of the country seeing modest growth. London, however, continues to pull away from the rest of the market and has experienced strong growth again over the past year.”

Remortgages have been out of reach for many UK homeowners due to the lack of equity.  Those with adequate levels of equity are able to secure the lowest interest rates in the lending market and those with less must accept higher interest rates.  The good news is that while the very best interest rates are reserved for those that can meet 30% to 40% loan to value levels there are still very cheap remortgages for those that need higher loan to value deals.