UK Home Mortgage Valuations Go Through a Welcomed Sprint Stage
The pace of residential mortgage valuation caught fire during the second quarter of this year - rising by 13% over the first quarter. The level also dwarfed that of the same quarter of 2010. Year on year comparison saw a 29% increase over last year.
The rise for the quarter was prompted by a welcomed surge in June. More summer buyers are starting to enter the market, along with an increase in landlords doing the same. The rise in valuations was not just a seasonal rise though. The activity of valuation as a whole was up almost 40% in a year on year comparison. Overall activity is still on the heels of the level seen in 2007, but gaining ground. The number of valuations has increased seven months running.
The buy to let sector of the housing market is also helping the number of valuations to increase. Over the course of June, an impressive 47% more valuation took place for possible investors. This is an increase of almost 100% compared with last year. That is considered a boom.
John Bagshaw, corporate services director of Connells Survey and Valuation, commented on the high performance level of the buy to let market, saying: “The buy-to-let market is going from strength to strength. Rents are at record highs in many areas, tenant demand is robust and yields are steadily climbing. With the increasing competition amongst buy-to-let lenders, many prospective property investors are looking to capitalise on an attractive market, which is driving up buy-to-let transactional activity.”