Nearly 3 million homebuyers have found their endowment policies will not pay out large enough sums to cover their mortgage repayments, and the FSA has started an investigation into the growth projection rates used by firms selling the policies (Guardian, 23 June).
Political fury was also directed at the Department for Work and Pensions over its plan to sell 1100 job centres to property firm Land Securities without open competition between private sector bidders (Observer, 22 June).
Home sellers also made a tidy sum this month, according to The Times (023 June) as asking prices climbed 1.3% in June.
But Bank of England governor Sir Edward George said house price gains would decline to zero in two years' time.
The Social Market Foundation said the government should impose a 40% capital gains tax on profit homeowners make on their properties through house price rises (Guardian, 24 June).
That proposal would hit home in a part of Poplar, east London, which has been revealed as the wealthiest area in the UK. (Financial Times, 21 June). The E14 postcode seems an unlikely recipient of the accolade – but development at Canary Wharf has skewed the area's standing.
Source
Housing Today
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