Kings & Co tracks the trend of home ownership versus property rental in Norwich

Feb. 29, 2012 - PRLog -- Kings & Co is a property letting agent based in Norwich and has been established in this market since the 1990s.  Over this period of time the company has seen the level of change the economy can have on the property market and some of the stimuli that causes the public to change their position when it comes to either owning or renting a property.

http://www.kingsandco.com/

In times of economic uncertainty this traditionally has an impact in two principle ways:

1.  The value of the housing market is usually in decline with no sign of increase
2.  Availability of finance tightens, meaning loans necessary to buy a home are more difficult to achieve.

Both of the above apply today, however unlike the property crash in the 1980s, what's different this time around is that interest rates are very low interest rates, the tightening of finance availabilty is really driven by banks wishing to mitigate risk and asking for larger deposits and lower income multiples to determine affordability.

Overall the outlook today suggests a longer stagnation than previous recessions.  Interest rates are predicted flat well into 2013 whllst the value of the housing market continues to decline albeit at a much slower pace than the height of the credit crunch.  To some extent the economy is in limbo so what are people in the property market doing about this?

Property letting in Norwich has increased across the board, there are several aspects:

1.  First time buyers choosing property rental while they save the higher deposits needed to get on the housing ladder
2.  Current home owners selling their own property and choosing to rent in favour of waiting for the right new home to appear on the market and at the right price
3.  Property investors with capital for deposits are increasing quickest, they are attracted by the low cost of borrowing and able to look long term
4.  Anyone with cash previously providing a return in bonds or saving accounts now finds with interest rates so low their returns are better by being investing in property.

Overall the growth in property investment and property management in Norwich is driven largest of all by investors looking long term and those looking for better yields on their investments.  Clearly the interest rate has a big impact,  those with spare capital i.e. cash for deposits or for total investment in property have a good opportunity for income returns and a beneficial lending environment as long as they are in for the long term,  Those worst off are the first time buyers, who in theory would appreciate the low interest rate but can't get on the ladder due to the tightened deposit and lending criteria.

Kings & Co offers a top class letting and property management service and is striving to innovate and evolve in this growing market place.

http://www.kingsandco.com/landlords/

http://www.kingsandco.com/testimonials/

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Lettings and Property Management agent in Norwich. Servicing landlords for full management and tenant find. Kings & Co is family of landlords bring their experiences to help other landlords.