Home owners cannot move, reports London Mortgage Advisers and Brokers, London Mortgage Advice Tuesday, 10th November 2009

Thanks to the credit crisis and its knock-on effect on the UK housing market, 2.5m homeowners are remaining longer than planned living in their current homes

Millions of property owners have put their plans to move on ice due to economic uncertainty and worries about their finances, according to research from advice website Unbiased.co.uk.

25% of those are trapped because they can’t achieve the asking price they want or need in order to move. That figure increases to one in three (37%) over 55s stuck in their existing home as a drop in property prices has meant they can’t get the price they want for it.

Over 20% people stuck in their current home for longer than they had intended say they can’t afford the mortgage repayments on their next home, with 25% of 35 to 54 year olds claiming they can’t afford the next mortgage.

And, 14% of all homeowners can’t afford the deposit required to buy their next home, with that figure rising to 23% of those between 18 and 24.

“The recent property market volatility has had major implications on homeowners’ plans to move up the property ladder. Many have relied on their home either as an investment for the future or to help them to move onto the next rung of the housing ladder, says Karen Barrett, Chief Executive of Unbiased.
"However, millions have now realised that their plans have been put on hold by the current state of the property market, and they now have to remain in their current house for longer than they had originally planned. “Being able to access an affordable mortgage for your next property is a vital part of the house buying process. With stricter lending criteria and larger deposits needed in the current environment homebuyers should ensure they seek professional advice when it comes to financing their property."It is important that those looking to move get the best advice possible, and only a whole of market mortgage adviser has access to the full range of deals on the market and can offer impartial advice on the best option for you.