Saturday, June 21, 2008
Low Inflation, Low Unemployment, better placed to weather…..
The number of house builds has sunk by nearly 60% in 12 months as tighter mortgage lending puts off buyers. The National House Building Council, with 20,000 registered housebuilders on its books, said there were 6,890 starts in the private sector in May, compared with 15,713 last year. This is a drop of 56%. The number of public-sector houses being built is also decreasing with 2,699 houses being built this year, compared with 4,306 in May 2007. About 60% of social housing is built by private developers. This news came on the same day as Halifax, Britain's biggest mortgage lender, announced that it would raise its fixed rates on loans by 0.5% from today - the 20th time Halifax has changed its rates since the start of the year.