coSuddenly homeowners are more confident, with 59 per cent now believing that house prices are set to increase, according to a study out today from Zoopla, the property website. Just one in four think that the market is headed downwards. The finding may be somewhat curious in light of new Bank of England figures showing that households reduced mortgage debts by a record £24.6 billion in 2010. After all, such deleveraging suggests a mood of caution. The Bank’s numbers coincided with the British Chambers of Commerce’s conclusion that the recovery is “mediocre and disappointing”. Nick Leeming of Zoopla offers an explanation: “Falling prices have created attractive buying opportunities, and with continued low inventory of property on the market, homeowners are expecting prices to rise in their local area.”
Where are new homes about to be built? The schedule of New Homes Bonus 2011-12 allocations holds some of the clues. Under this scheme, local authorities that give the go-ahead for developments for private or public sector housing in their areas receive an incentive from the Treasury. The schedule, published this week, reveals that some of the largest payments are going to London boroughs with Tower Hamlets, Hackney and Islington picking up £4.2 million, £2.3 million, and £3.7 million respectively. Other big beneficiaries include Barnet ( £1.5 million) and Hillingdon (£1.8 million). Only the payouts to Bradford and Leeds - around £2.7 million apiece - come close. The conclusion - London is set to gain some much-needed new housing.
And now something for the many lovers of sprawling US mansions with a surfeit of bathrooms, parking spaces and every other convenience. Russian billionaire Yuri Milner spent $100 million on a home in California last month. But he could have been even more extravagant, as curbed.com, the US property website has discovered. See the American palaces feature at Curbed.com