Property buyers say 'credit crunch makes no difference'

Over a quarter of Brits say that the credit crunch has made no difference to how they view the property market.

The survey, commissioned by the nation’s largest independent housebuilder, Miller Homes, polled over five thousand new and potential home buyers to gauge their confidence in the property market.

Half say they are more cautious about debt but just 14 per cent in the Yorkshire and Humber region say they are prepared to accept an inferior home to get into less debt. Nearly five per cent of people in the region are still willing to borrow the maximum amount possible to get the home of their dreams.

Almost a third of our region’s residents say they are planning to move home within three years – most to get more space (58 per cent) with just seven per cent putting the move down to necessity of work relocation. And location isn’t everything – 24 per cent of us would move to get a bigger garden and just 26 per cent to live in a better neighbourhood.

TV property expert, Jenny Powell, said of the findings: “There is still a real appetite for people to buy new homes and in my view, bricks and mortar is still the safest long-term investment by far. The survey results echo this, proving that people still have faith in property as a sound investment and the best place to put their money. I think that buyers will welcome this positive news – it feels good to know that it’s not all doom and gloom out there.”

Sue Warwick, national sales and marketing director for Miller Homes, who commissioned the survey, said: “The results of our survey show that, despite endless negative reports about the property market – people still want to move and remain relatively unaffected by harsh headlines and horror stories about the fall of the property market.”

Brits also still believe property to be the soundest long term financial investment in the UK, with almost half (48 per cent) of our regions residents saying that it is where they would choose to put their money over ISAs (32 per cent), stocks and shares (13 per cent) and bonds (eight per cent).

Despite the optimism uncovered in Miller Homes’ buyer barometer survey, fears over mortgage lending and gathering enough deposit still concern new buyers. Around 33 per cent of first time buyers from the Yorkshire and Humber region stated that the recession had rendered them less likely to purchase a new home in the current climate – with 18 per cent blaming Gordon Brown for their situation.

Sue continues: “This is further evidence that the banks simply have to ease their overly strict lending criteria to help further time buyers achieve property dreams. As the saying goes, a Brit’s home is his Castle and with an overwhelming number people in our poll still placing their faith in property ownership as a sound investment, it is important that everyone who wishes to buy, can do so.”

Miller Homes has 13 developments across the region comprising a range of properties from one bedroom apartments priced from ££69,995 to a five bedroom detached house priced from £265,000, there is also a range of purchase initiatives to help.

For people with a home to sell, the developer has recently rolled out its exclusive new Home Exchange product, MiSwap. This unique scheme is only available through Miller Homes and allows buyers to swap their current home for one of Miller’s selected plots*, whether they are looking to upsize, downsize or swap like for like.

The scheme marks a radical departure from traditional part exchange exchanges which usually require a home owner to purchase a property worth at least 30% more than their existing home to qualify.

For buyers looking to get onto the property ladder, Miller Homes can also help in the form of its own shared equity scheme MiWay.

It allows buyers to confidently own 100% of their property but pay from only 75% of the price now - and the further 25% later. (Subject to terms and conditions. The percentage you receive will depend on your circumstances.) Customers are able to arrange their own finance for the 75%, or whatever percentage you qualified for, part of the fee with Miller Homes providing the remaining amount.

For more information on any Miller Homes property or initiative, visit millerhomes.co.uk.

More survey stats from Yorkshire and The Humber:
- 31 per cent of the region’s residents are currently looking to move house
- 58 per cent of those looking to move want a bigger house/ more space
- 68 per cent of home owners do not think they are in negative equity
- 5 per cent of those polled in Yorkshire and the Humber are willing to borrow the maximum amount possible to get the home of their dreams
- 15 per cent are prepared to accept an inferior home to get into less debt
- 52 per cent are more cautious about debt following the credit crunch
- 13 per cent are willing to make compromises in order to buy their own home