What can the Chancellor do for the South's housing market?

Will the Chancellor help the South's housing market? Image source, Press Association Image caption, Both buyers and sellers say they are struggling to complete sales in the current market are are looking to the forthcoming budget for help from the chancellor By Emily Hudson South of England political editor Published 1 hour ago The housing market is always an indication of the state of the economy and one sector which can feature in a Chancellor's budget.

It's expected that John Healey will confirm the "Your First Home" scheme, which enables people to buy a new-build home with a 2.5% deposit and a 20% equity loan. But the majority of sales in the South are second hand homes. As the average price of a house in the South East starts to rise again after falling earlier in the year - 0.9% month on month in October according to property website Rightmove - what can be done to keep up the momentum?

The vendor: 'It's a buyers market' Image caption, The initial valuation on Rebecca Guest's apartment was £60k more than it sold for Rebecca Guest is selling her one bed apartment in Newbury and looking to relocate to the North East. "I want a chance of being mortgage free, if I stay here I'll be working until age 70. In the North East, properties are significantly cheaper and I'll have a better quality of life, maybe even working part-time".

But finding a purchaser wasn't easy. "It's a buyers market, all around this area there are for sale signs. I feel absolutely heartbroken that I've lost most of the capital I've put into the flat – that's how much less I've had to sell it for". She puts it down to changes in the rules for landlords meaning many are not interested anymore and are selling up. "They just want to get rid of the responsibility, but it means people have more choice, can be more picky and more choosy on how much they offer you".

Guest thinks the government needs to do more to help first time buyers get mortgages on all types of property, not just new builds. "Lenders don't have the risk appetite they once had to lend". The purchaser: 'It's definitely not a buyers market' Image caption, Three purchases have fallen through for Phoebe Jupp and her partner Phoebe Jupp and her partner Kai have been trying to buy their first home near Portsmouth for the last 16 months.

Three sales have fallen through, due to issues with surveys or vendors dropping out. "It's gone wrong so many times, I've been told it's a buyers market but we've had stress and hassle the whole way through. We're just fed up". They're currently living in Jupp's mother's bedroom while she sleeps on a sofa-chair in the lounge. "I feel awful, she only downsized when she knew we were moving, then last minute it was all off" added Jupp. Each failed purchase has cost them in surveys and solicitors fees.

"We're now having to dip into our deposit, which means we have less money for the house". Jupp thinks the chancellor should make it easier for all first time buyers, not just those buying new builds. "The Scottish scheme where vendors have to pay for the survey would help, then we'd know what we were buying". The agent: 'There's pent up demand' Image caption, Dan Channer believes confidence in the budget will help bring momentum to the housing market Dan Channer is CEO at Jones Robinson's estate agents in Newbury and says September was their best month for sales in several years.

"The market is not as bad as people think, but the Iran War in February did push mortgage rates up which put a brake on demand, but there is pent up demand particularly from first time buyers". He said there are a lot of flats on the market in West Berkshire and says the "scare stories" over leasehold hasn't helped. "There's even a name for it - fleecehold - and the whole leasehold system needs blowing up and re-inventing because that will bring back buyers and help them realise it's not as scary as they might think".

He thinks any national policy made by the government is hard to make - because home values vary so much. "It's harder in the South East for first time buyers and second-steppers. As an estate agent, I'd love to see positivity in the budget to stop people feeling fearful and boost momentum, a tweak in stamp duty levels and any incentive to downsize for older people". More news from Berkshire Watch the latest episode of South Today Listen to the latest news from Berkshire Get in touch Your Voice Contact form Contact form Related topics Berkshire Housing market Mortgages Stamp duty in the United Kingdom Hampshire & Isle of Wight Housing Portsmouth Newbury More on this story Home sellers cut asking prices on 3,000 properties a day Published 19 October Average five-year mortgage rate hits 6% for first time in three years Published 5 October You need £17,000 for a first home - here's how to save it Published 28 September 'Our flat has been for sale for four years': Why is the market so weak?

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