For What It's Worth Buying a house will be more affordable this year than it has been for a generation, according to the TSB Affordability Index. It says the typical buyer can expect to spend pounds 25.70 out of every pounds 100 they take home on a mortgage - the lowest figure since 1978. In 1990, the figure was pounds 71.30. Next month's tax cuts are a major factor in improving affordability.
John Elbourne, retail director of the TSB, says, "The figures have been good now for three years, but they relied on weak prices - not something that inspired buyer confidence. This year will see affordability based on slowly rising prices, falling mortgage rates and strengthening earnings. Taken together, these factors will cut by 10 per cent the amount of their cash people have to budget for their mortgage."
Bill Cotton, the former head of BBC television, is selling his Victorian villa in Surrey. The six-bedroom house in East Molesey has four reception rooms and a large studio/games room. It is being sold by Knight Frank in Esher for pounds 625,000.Reuse content