Banks tipped to boost UK mortgages in early 2010

 

Banks and other lenders were making more mortgages available to their customers in the final quarter of the year and are expected to further boost their offerings in the new year, the Bank of England said today.

In its latest quarterly Credit Conditions Survey, which asks lenders about credit conditions over the past three months, the Bank reported that respondents had said that the situation had become better because of the improved economic outlook and higher house prices.

Respondents to the Bank's survey, who are also asked about their expectations for the next three months, said that conditions were more favourable, particularly for those customers looking to borrow more than 75 per cent of their property's value.

The rise in higher loan-to-value (LTV) mortgages is expected to continue into 2010, although at a slower pace, the Bank said.

The study will be welcomed by first-time buyers who have been hit hard by tightening credit conditions.

Figures from the Council of Mortgage Lenders show that the average person buying their first home with a mortgage has put down a record 25 per cent of the property's value during the past nine months.

The Bank recently reported that, in November, mortgage lending dropped by 10 per cent compared with the previous month, although that particular index focused on a narrower selection of lenders.

While demand for mortgages has continued to rise, demand for remortgages has dropped, as homeowners continue to benefit from low interest rates on their current deals.

Today's survey also showed that the availability of credit to businesses rose in the last quarter of the year, supported by increased competition from capital markets.

A further increase is expected in the first few months of next year.

Meanwhile, demand for credit from non-financial corporations was shown to have fallen in the fourth quarter, partly because of larger companies having access to alternative forms of finance.

However, corporate demand for finance is expected to increase in the first quarter of 2010.

Howard Archer, chief UK and European economist for IHS Global Insight, said: "[This] at least boosts hopes that quantitative easing and other policy measures undertaken by both the central bank and the Government to boost bank lending are increasingly feeding through to have a beneficial impact, in tandem with the modestly improved economic situation and outlook.

"Consequently, the survey raises hopes that credit conditions will increasingly become less of a constraint on economic activity over the coming months. This is critical to sustainable recovery prospects."

Source bbc.co.uk

House prices in United Kingdom are rising again

House prices rise by 5.9% in 2009, says Nationwide

Nationwide says the noughties was the strongest decade for house prices UK house prices rose by 5.9% in 2009, making some recovery from the massive falls seen last year, the Nationwide building society has said. The rise in prices seen this year compared with a sharp fall of 15.9% in 2008, the lender said. The average cost of a home went up for the eighth month in a row in December, rising 0.4% to £162,103. However, the Nationwide predicted that prices would change little over the coming year. "This year's recovery has to some extent been driven by transitory factors and there are reasons to believe that it will lose momentum over the coming year," said Martin Gahbauer, the Nationwide's chief economist. "At the same time, there is no obvious catalyst on the near-term horizon that would trigger significant renewed falls in prices, such as a sharp spike in interest rates." Surprise Mr Gahbauer admitted that the past year's price increases had taken everyone by surprise. At this stage, it seems likely that 2010 will see no significant house price movements in either direction Martin Gahbauer, Nationwide "Few could have foreseen this development at the start of the year, when the near-term price trend was still pointing to a repeat of the double-digit annual decline experienced in 2008," he said. "Although house prices are still 12.2% lower than their October 2007 cyclical peak, they have now rebounded by an impressive 8.9% since their February 2009 trough," he added. The lender said price increases in the past few months had moderated compared with those in the summer. The Nationwide argued that although interest rates were likely to remain low, which would help mortgage borrowers, there was still uncertainty about whether unemployment would rise much further and whether cash-rich buyers could continue to be a significant feature of the market. As a result, it argued that the outlook for the coming year was unclear. "At this stage, it seems likely that 2010 will see no significant house price movements in either direction," Mr Gahbauer said. "However, the experience of 2009 demonstrates how unpredictable the market is at the current juncture and that one should always be prepared for the UK housing market to surprise." Strong decade Looking back at 2009, the Nationwide said there were clear reasons for the unexpected upturn in prices. "The re-entry of cash rich buyers into the market coincided with an extremely low supply of property available for sale, as low interest rates limited the number of distressed sales and a significant number of home movers decided to offer their properties for rent rather than sale," Mr Gahbauer said. "This restriction in supply meant that even a relatively modest pick-up in demand was able to put upward pressure on house prices." Looking further back, the Nationwide said that the past decade was the strongest on record for house prices, despite the recession. Property values have risen by 117% since the end of 1999. Taking inflation into account, the average home increased by 68% in value over the decade, compared with a 14% fall in real terms in the 1990s.

 

Source http://news.bbc.co.uk/2/hi/business/8435745.stm

Global confidence slowly recovering

US house prices up for fifth month

House prices continued to rise on a monthly basis US house prices rose in October for the fifth month in a row, according to a leading index. Prices were 0.4% higher than they were in September on a seasonally-adjusted basis, the Standard & Poor's/Case-Shiller Home Price index said. And confidence among US consumers has shown a larger-than-expected rise. Improved optimism over the jobs market saw consumer confidence hit a three-month high in December, according the Confidence Board. Modest recovery The recovery in the housing market continues to be uneven, with only 11 of the 20 cities tracked showing house price gains. On a yearly basis, prices were 7.3% lower. The index records the prices of homes in 20 of the largest cities in the US. On a non-seasonally-adjusted basis, prices were flat and the index committee was cautious about the possibility of a "second dip" back into recession. "All in all, this report should be described as flat," said David Blitzer, chairman of the index committee at Standard & Poor's. "Coming after a series of solid gains, these data are likely to spark worries that home prices are about to take a second dip. "Before jumping to conclusions, recognise that the one time that happened at the beginning of the 1980s, Federal Reserve policy saw dramatic reversals, which is very different from the stable and consistent Fed policy we have today." Confidence rise An unexpectedly sharp rise in US consumer confidence is likely to reassure investors. The Confidence Board's index of consumer attitudes rose to 52.9 in December - beating the analysts' average forecast of 52.5. Consumer confidence for November was also revised up, and index measuring consumers' expectations for the economy reached a two-year high. US stocks reacted positively to the news, with the Dow Jones Industrial average rising in early trading. Source http://news.bbc.co.uk/2/hi/business/8433858.stm

30 December 2009

Exclusive Algarve Villas - December newsletter

We wish you a great new years eve, and a great 2010!

Here are some quick links to some 2009 end of year deals.

Extremely well priced to sell quinta near Silves

Fancy a somethings fast and furious, race track apartments are now offered with special prices and owners pack untill the 31st of December.

And... you are looking to purchase a property in Portugal outside the Algarve, we provide free property hunt service, available 7 days a week.

Contact us at info@eavillas.com or +351 282 353 019

 

 

 

 

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Red bull air race going to Lisbon for 2010

Weeks after it was claimed the Red Bull Air Race was in jeopardy of moving to Spain, Turismo de Lisboa has signed an initial agreement with Red Bull Air Race for the event to take place over the Tagus river in 2010.

The agreement, signed on Tuesday by Turismo de Lisboa, representing Lisbon and Oeiras councils, and Red Bull Air Race, demonstrates the "desire for an international championship event to take place over the Tagus River, between Torre de Belém and the April 25th bridge, in 2010" stated the document.

After being held in Oporto for three consecutive years, Lisbon will be hoping to gather as many spectators as the Oporto event, which attracted a staggering 720,000 people to the Douro river last September.

With Lisbon Council having only confirmed on Wednesday 16th December its involvement in the event, refuting previous speculations that the event might be moving venue, it has also been revealed that Lisbon and Oeiras councils must finance Red Bull by €3.5 million.

The cities receiving the event must also "provide to the competition, free of charge, the usage of the space where the event takes place, including the areas dedicated to the planes, and a landing strip, so that test flights, training and qualifying flights can be carried out with ease."

Both councils now have until January 31st to complete a protocol which establishes the obligations and rights of the three parties involved.

Source The Portugal news

High speed train creating jobs

Now is the time to move forward with the high speed train network project in Portugal, according to Prime Minister José Sócrates, who spoke during the signing of the work contract for the first segment of the Lisbon-Madrid high-speed rail link, between Poceirão and Caia.

"The crisis is one more reason to do it. It is at this time that the country needs investments, and job opportunities" said José Sócrates during the formal procedure in Évora, adding "There are a lot of people looking for a job and many companies waiting for this opportunity."

The signing of the work contract was the first step towards the high-speed rail link betwee

Now is the time to move forward with the high speed train network project in Portugal, according to Prime Minister José Sócrates, who spoke during the signing of the work contract for the first segment of the Lisbon-Madrid high-speed rail link, between Poceirão and Caia.

"The crisis is one more reason to do it. It is at this time that the country needs investments, and job opportunities" said José Sócrates during the formal procedure in Évora, adding "There are a lot of people looking for a job and many companies waiting for this opportunity."

The signing of the work contract was the first step towards the high-speed rail link between Lisbon and Madrid, and work should commence in 2010, scheduled to be complete by 2013. José Sócrates reminded people that the project involved several years of studies: "There are a lot of things to do before a project of this magnitude. There are many studies to make, in order to give assurance to the Portuguese that the decisions we make are fundamental for the future of our country." With this initial stage now concluded, it is time to move forward and carry out the project.

The Prime Minister imposed his stance on the project before critics, saying they "should think Portugal can't take the risk, nor pay the price, of straying even further away from Europe and its main markets", adding that those who make decisions can eventually be wrong, but those who never make a decision are wrong from the start. The structural projects of the high-speed train link will generate a total of 56,000 permanent jobs in Portugal, according to studies made.n Lisbon and Madrid, and work should commence in 2010, scheduled to be complete by 2013. José Sócrates reminded people that the project involved several years of studies: "There are a lot of things to do before a project of this magnitude. There are many studies to make, in order to give assurance to the Portuguese that the decisions we make are fundamental for the future of our country." With this initial stage now concluded, it is time to move forward and carry out the project.

The Prime Minister imposed his stance on the project before critics, saying they "should think Portugal can't take the risk, nor pay the price, of straying even further away from Europe and its main markets", adding that those who make decisions can eventually be wrong, but those who never make a decision are wrong from the start. The structural projects of the high-speed train link will generate a total of 56,000 permanent jobs in Portugal, according to studies made.

 

Source The Portugal news

3 bed villa with price reduction for sale in Praia da Luz

3 bed villa with sea views in Praia da Luz

Price: € 480,000 Property Ref: EAV-99     Priced to sell - Reduced from 600,000! This beautiful villa displays the priviledge of living by the sea. The urbanization is a condominium set in approximately 40 hectares of rural environment, 4 hectares of which are allocated to leisure activities. In addition to its own swimming pool, this villa can enjoy the facilities within the condominium, which include restaurant, golf academy,tennis courts, salt-water swimming pool, spa, gym, indoor swimming pool. The property has full seaview, outdoor BBQ and patio area, gas central heating,double glazed windows and wooden floors, this villa has a true charm and is priced to make it hard to resist. http://www.eavillas.com/property.php?id=99&title=3-bed-villa-with-sea-views-in-praia-da-luz

Ryanair opens new airbase in Faro

Ryanair opens 39th base in Faro

Tuesday, December 22, 2009

Ryanair has announced that it would open its 39^th base at Faro, Portugal, in March 2010 with 6 based aircraft and 14 new routes (28 in total) being launched. Ryanair will create over 300 direct jobs and offer over 200 weekly flights to/from Faro in an investment of over $400 million in the airport...

Ryanair's 14 new routes from Faro to Billund, Birmingham, Derry, Eindhoven, Kerry, Knock, Madrid, Marseille, Maastricht, Milan (Bergamo), Oslo (Rygge), Paris (Beauvais) and Stockholm (Skavsta) will increase Ryanair's traffic at Faro to 1.3million p.a. which will sustain 1,300 well paid local jobs in the region.

Ryanair's Michael O'Leary said, "Ryanair is delighted to announce Faro as our 39^th base with 14 new routes from next March. With a total of 28 low fare routes from Faro next summer Portuguese consumers and visitors can beat the recession by choosing Ryanair's lowest fares and our no fuel surcharge guarantee on 28 exciting destinations all over Europe including France, Italy and Germany among others. Ryanair's 1.3m passengers p.a. will sustain 1,300 jobs locally at Faro Airport."

 

Source themovechannel.com

New villa within walking distance to the beach in Gale, Portugal

Brand new property within walking distance to the beach

Price: € 1,100,000 Property Ref: EAV-865     Brand new villa ready to be moved into! This property features modern finishes, fully equipped kitchen, air conditioning, fireplace in living room, 3 suites, landscaped garden, bbq and private swimming. The urbanization is within walking distance to the Galé beach, supermarket, restaurants and only a few minutes drive to the golf course, marina of Albufeira and the town centre http://www.eavillas.com/property.php?id=4022&title=brand-new-property-within-walking-distance-to-the-beach

Africa Eco race 2010 starting in Portimao, Portugal

 

Africa Eco Race sporting challenge

The Africa Eco Race sets off from Portimão on 27th December. The philosophy of this off-road event is "sporting challenge but with human values as the priority".  René Metge said he thought that the Africa Eco Race was a race unlike any other and that this Marathon Rally Raid was offering competitors a chance to share in an adventure based on sporting challenge but with human values as the priority. The sporting director of the event was speaking in Portimão during the presentation of the competition in which the only confirmed Portuguese participant is the driver Elisabete Jacinto. The race starts from Portimão on 27th December heading for Dakar where it will finish on 10th January. Pleased that the event is starting in the Algarve, Elisabete Jacinto said she thought that to do a major off-road marathon in Africa was to combine the spirit of adventure with that of competition because the isolation and the harshness of the desert often took you to the limits of your capabilities. She said she was very pleased to discover that the Africa Eco Race could provide them with all of this and that arrangements for the competition were on track. The route was drawn up by René Metge, himself three times Dakar winner and organiser of other major off-road marathons, and Jose Maria Servia. The Africa Race will consist of 12 stages, six of which will take place in Morocco, five in Mauritania and one in Senegal, making a total of 6200 kilometres of which more than 4000 will be timed. Metge said that navigation would play an important part with the aim of evaluating the aptitudes of each participant; he added that there would certainly be difficulties in Mauritania where competitors would experience total immersion in a desert environment. He said it would not be easy but those who believed in the organisers would not regret it. The first staging of the Africa Eco Race was in 2009, in which Jean Louis Schlesser emerged as winner. Source Algarvemais.com

New Golf Course and Hotel planned for Vigia Resort

New Golf Course and Hotel planned for Vigia Resort

The Vigia Group, owners of more than 2000 hectares in the western Algarve, have announced exciting new plans to extend further their already sizeable investment in the region. Vigia, which offers for sale and to rent a wide variety of luxury properties in Portugal including Algarve villas, golf villas and beach properties, has announced plans to launch a number of new projects across its eight luxury resorts including a 5 star hotel and new golf courses at Parque da Floresta, its flagship resort. Shareholder and new CEO Barry Bateman, was happy to discuss details: "With the full support of our shareholders, we plan a multi-million investment in some very exciting projects across our eight resorts throughout the region. Investment we believe will help elevate the Vigia brand and enhance the quality of our product offering." With plans for a luxury hotel and a new championship golf course at Parque da Floresta, Vigia hopes to extend the appeal of the award-winning resort and the unspoilt charm of the western Algarve beyond the traditional markets of Scandinavia, Germany, France, UK, Holland, Spain and Portugal to emerging markets like Asia, Africa and the Americas. Leonor Ramalho, recently appointed General Manager of Vigia Resorts, added: "These new facilities will complement our existing offer at Parque da Floresta which include an 18-hole par 71 golf course, an excellent football academy, tennis courts, crown green bowling and numerous outdoor heated pools. Not to mention the eight on-site restaurants and bars." Billed as one of Europe's most picturesque golf courses, Parque da Floresta is set amongst rolling hills, golden beaches, timeless fishing villages and unspoilt countryside of the western Algarve. Bordering the Costa Vicentina National Park, the imaginatively designed golf course is the centre piece to the resort. With no two holes remotely similar and measuring 5,712 metres from the white tees, the course features varying holes running along valleys, past eucalyptus covered ravines, flanked by olive, palm and pine trees, with a variety and appeal that's endless. The addition of a new course, with other courses to follow, will only help to enhance Parque da Floresta growing reputation amongst golfers the world over. With significant plans and investment in the region, The Vigia group are determined to build on their reputation as the leading developer of high quality properties and resorts in the western Algarve.

 

Source AlgarveMais.com

New villa for sale on funchal ridge, Lagos

New Build Luxury property

Price: € 1,750,000 Property Ref: EAV-873     One of the last remaining properties for sale on this new development just west of Lagos, This property has views to the ocean from the south and to Monchique hills to the North. The villa has 2 reception rooms, 4 bedrooms + office / extra bedroom, garage, heated swimming pool, fully landscaped gardens with irrigation system and bbq area. The villa is equipped with underfloor heating, fireplace, air conditioning, double glazed windows, electric shutters, electric gates and alarm system. The kitchen includes all modern appliances. The villa has seaviews from the ground floor and the master bedroom has a private balcony with ocean views.

http://www.eavillas.com/property.php?id=4042&title=new-build-luxury-property