Property News
Budget airlines to boost Cyprus house prices !!
The price of property in Cyprus is set to rise this year after a low-cost airline said it would serve the island from the UK. !!
Hips trial extended to 12 more locations !!
The trial run of Home Information Packs (Hips) will be extended to an additional 12 locations across the UK it was revealed today. !!
Over 5,000 sign petition against Hips !!
More than 5,000 people have signed a petition against Home Information Packs (Hips), which are due to come into force in June this year. !!
Desperate first-time buyers give up holidays !!
Most first-time buyers are so desperate to get on the property ladder they would give up holidays to save money, a new survey reveals. !!
Buy-to-let "not to blame" for first-time buyer crisis !!
The growth of buy-to-let is not to blame for pricing first-time buyers out of the housing market, an expert in property economics has said. !!
Property Finance News
Tax tips for returns !!
As the deadline for tax returns approaches, taxpayers have been given tips on how to save on their finances, as well as avoid the £100 fee for late submissions. Returns can be filled in manually on paper or calculated automatically online - which some customers may find easier, according to the Sun. Self-employed workers, the newspaper claims, can benefit if they reclaim expenses made while working. For example, heating or lighting bills accrued during the hours of work, as well as any other work-related costs, could be reclaimed, the company says. Also, employees whose bosses will not refund them for expenses should keep hold of receipts until it's time to fill in the return. Leonie Kerswill, a tax partner at PricewaterhouseCoopers, says "preparation is key". "Get your information together before you start and if you need help ask HM Revenue & Customs or a qualified tax adviser in good time," she adds. Earlier this year, consumer charity Credit Action estimated personal debt to be at a total of £1.25 trillion in the UK. !!
FSA fines loans company over PPI !!
The Financial Services Authority (FSA) has cracked down on an insurance firm for not treating its customers fairly when selling them Payment Protection Insurance (PPI). Loans.co.uk was fined £455,000 by the regulatory watchdog for failing to gather and record adequate information to show that its policy recommendations were accurate. The FSA found that around 14,000 customers were not being told the full story when they were offered PPI and so could have been short-changed by being pushed into an inappropriate deal. Margaret Cole, the FSA director of enforcement, said: "Loans.co.uk failed to make sure adequate processes were in place to ensure the suitability of its PPI recommendations and treat its customers fairly. She added: "We encourage consumers to ask straightforward questions of sales staff when PPI is mentioned to help them to identify whether the product is right for them." Stephen Hayes, chief executive of the prosecuted firm, affirmed that the company would have relevant safeguards to prevent the same situation arising in the future. "We co-operated fully with the FSA and undertook an internal audit review to ensure effective and timely resolution of the issues identified," he said. "New practices have been in place for the past six months." !!
Parents failing kids on CTFs !!
Too many parents are failing their children by not getting the best returns out of their Child Trust Funds (CTFs), claims new research. Although there has been a good uptake of CTFs, for which any child born after September 1st 2002 is eligible, 22 per cent are still opting for low-yield cash accounts, reports Family Investments. Family's stakeholder funds over the past year amount to 10.4 per cent, a sum which is twice the average cash fund. Although the research is based over a year, which is a short period of time in terms of returns on stocks and shares, it does suggest the potential benefits available to investment savvy parents. The company's research shows that 36 per cent of parents underestimate the benefits of investing in stocks and shares and half are unaware that inflation gnaws away the value of cash savings. John Reeve, chief executive of Family Investments, commented: "The natural instinct for some parents is to fear loss more than anticipate gain and as a result opt for cash. "The fact is that when you lock money away in cash over 18 years, it is twice as likely that the buying power of your money will be lower than if you had invested the equivalent amount at outset." The government is encouraging families to start saving for their children's future by giving them a £250 voucher when they open their fund. !!
No handouts for children of the future !!
In two generations' time, children will be expected to be financially autonomous from an early age, according to new research. In a climate of rising house prices, interest rates and energy bills, parents are becoming more expectant of their offspring to provide for themselves when they reach their teenage years, reports Bradford & Bingley. Over half of adults (55 per cent) in the survey said that children should start saving for the future before the age of ten and a third believe that their offspring should have amassed £2,000 by the time they are 18. But there was found to be a stark difference between older and younger parents. Only 29 per cent of those aged 45 to 54 expect their kids to save for higher education or the deposit for their first house while this figure nearly doubles for those aged between 25 and 34. Steve Potter, head of saving for Bradford & Bingley, said: "If this trend of parents expecting their children to save rather than parents bailing them out continues then the bank of Mum and Dad will be hanging up the 'closed' sign in two generations time. "This makes it all the more important for parents to encourage their children to save from birth," he added. Mr Potter believes that the discrepancy between the two groups of parents comes down to the elder providers feeling more secure due to the advent of final salary pension schemes and house price inflation and those in their younger years feeling the pinch from rising living costs. But there is one thing they both agree on ? if a child wants their own car, they are going to have to fund it themselves. !!
Financial woes become 'last taboo' !!
Less than a quarter of Brits are willing to speak to their closest confidants about debt problems, as a new survey suggests that money worries have become the last taboo. Although more than half of the nation is willing to chat about issues relating to their love lives or family problems and 40 per cent would discuss health or career concerns with friends, research from First Direct shows that we are a nation highly strung about the subject of money. However, talking about our financial woes means that we are admitting we have a problem and this is the first stage to overcoming the burden, advises Mo Shapiro, one of the UK's leading relationship psychologists. "Some people feel that they are defined by their financial situation ? it decides their social status. Admitting to money problems can feel like an admission of failure to run your life properly and not being in control," she said. "But it also takes a lot of energy to hide problems and often just discussing them can makes them seem less frightening." The survey also revealed stark regional variation; 87 per cent of respondents in East Anglia were happy discussing their financial worries with their partner but in Wales this figure drops to just 50 per cent. Overall, men were found to be guiltier than women of bottling up, less than a fifth would be content to discuss their cash-flow problems with close friends. !!
