Guest The Pom Queen Posted June 21, 2013 Share Posted June 21, 2013 One in seven mortgage holders in the North West is in negative equity, compared with just one in 111 in the South East. The dramatic regional disparity is revealed as London house prices hit record highs while those in other parts of the country fall, pushing families into crisis. Negative equity means that your home is worth less than the amount outstanding on your mortgage. A report from the credit ratings agency Standard & Poor’s reveals negative equity is rising in the North but falling in the South. From October to December 2011, 3.3 per cent of mortgages in the South were in negative equity. By January to March this year, that fell by more than half to just 1.5 per cent. In the South East, including London, where the average asking price is at an all-time high of £510,000, it is just 0.9 per cent, equal to one in 111 mortgages. But the problem is getting worse, not better, in the North, where house prices have been falling or stalling for years in many areas. Standard & Poor’s said the figure there has ‘edged up’ from 8.5 per cent to 8.7 per cent since 2011. Some regions are even worse hit, with an estimated 13.5 per cent of the total mortgage balance in negative equity in the North West. Since the credit crunch began in August 2007, the average price of a home in the area has plunged from £135,000 to £107,000. Mark Boyce of Standard & Poor’s, the report’s co-author, said: ‘The widening regional house price divide is mainly responsible for these trends.’ Quote Link to comment Share on other sites More sharing options...
srg73 Posted June 21, 2013 Share Posted June 21, 2013 I can only speak personally however central London should be removed from any equation as this includes a lot of off seas money. The SE where we are is strong with our town being very strong due to presence of grammar schools which a lot of people are wanting for their kids. Houses are being snapped up quickly and prices seem to be rising. S Quote Link to comment Share on other sites More sharing options...
bunbury61 Posted June 21, 2013 Share Posted June 21, 2013 One in seven mortgage holders in the North West is in negative equity, compared with just one in 111 in the South East.The dramatic regional disparity is revealed as London house prices hit record highs while those in other parts of the country fall, pushing families into crisis. Negative equity means that your home is worth less than the amount outstanding on your mortgage. A report from the credit ratings agency Standard & Poor’s reveals negative equity is rising in the North but falling in the South. From October to December 2011, 3.3 per cent of mortgages in the South were in negative equity. By January to March this year, that fell by more than half to just 1.5 per cent. In the South East, including London, where the average asking price is at an all-time high of £510,000, it is just 0.9 per cent, equal to one in 111 mortgages. But the problem is getting worse, not better, in the North, where house prices have been falling or stalling for years in many areas. Standard & Poor’s said the figure there has ‘edged up’ from 8.5 per cent to 8.7 per cent since 2011. Some regions are even worse hit, with an estimated 13.5 per cent of the total mortgage balance in negative equity in the North West. Since the credit crunch began in August 2007, the average price of a home in the area has plunged from £135,000 to £107,000. Mark Boyce of Standard & Poor’s, the report’s co-author, said: ‘The widening regional house price divide is mainly responsible for these trends.’ shouldnt the headline read.....1 in 7 in the north west ? Quote Link to comment Share on other sites More sharing options...
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