Net-Teams, Inc.
HOME | Membership Websites | SMM Solutions | CRM Solutions | Online Training Systems | Publishing | Clients | Guarantee | Log In

Strong Housing Gains Driving Economic Growth

Submitted by Leann English | RSS Feed | Add Comment | Bookmark Me!

Consumer spending, increased investment and a hot housing market have led the UK economy to beat first quarter predictions.

The GDP is up almost 3% from last year at the same time and is 2.8% higher than earlier forecasts had expected.

Fuelling the economy has been an growing housing market, where housing values continue to climb, despite recent rate hikes that the Bank of England had hoped would cool things off a bit.

The interest rates of almost 6% are at a 6 year high, but investors and home buyers seem to be ignoring rising rates. Home buyers in the last year have almost universally reported substantial and record increases on the equity value of their homes, and as long as housing values continue to rise, analysts expect that demand for housing and other loans will remain strong.

Consumer spending is up at 0.6% over the last quarter, and investment has risen by almost 2%. Services are by far the largest sector of the economy, and this sector has also shown strong growth.

Analysts say that the real engine behind the economic growth is a housing market that is giving people the confidence to spend. With housing values having risen at 13% over the last year, there are a lot of home owners with some extra money, and extra confidence right now.

Financial services have shown strong growth, partly in response to an increasing demand for equity and home based loans, as people move to take advantage of the rise in equity values, and the dramatic housing value increases that have allowed them a bigger financial cushion to work with.

Many advisors are forecasting another interest rate rise to combat the strong economy and increasing inflation, and many savvy loan seekers are using the current relatively low rates to lock into a fixed equity or home loan now, before the likely higher rates to come.

The housing market shows no signs of cooling, even with central planning measures, and the economy should continue to grow driven by a housing market engine that is pushing up consumer confidence and spending.


Contact Us
Support and Sales
Contact Us

LinkedIn Recommendation: Wade Davis - Search Engine Optimizer at Blammo - I had Teo do some research for me a few weeks ago and hired him again. If he doesn't know something, he tells me right up front and somehow finds it in a few seconds while we are on the phone, "oh, wait a minute.. I know now! Just found it. Now we both know" - The guys is just funny! It's great working with Teo! Highly recommended! - March 17, 2012, Wade was Teo's client

Welcome!

Search Articles On Net-Teams

Featured [loans] Articles:
Net-Teams - Helping Businesses Prosper With Custom CRM, SMM and Online Training - Net-Teams, Inc. (NTI) is a technology and marketing firm and offers access to a core set of system t...
The Benefits Of A Membership Program For Your Website - Building membership through your website allows you to automate the acquisition of prospects and cus...
eWorkshop Hosting - The More Effective Way to Build Your Business with Online Ed - More and more companies are using eWorkshops to reach out to customers, prospects and employees. An ...
eWorkshop Publishing From Net-Teams - As many people are discovering, self-publishing is a time consuming venture, which takes time away f...
What is Social Media Management And Why Is It So Critical? - Whether or not you have a customer relationship management (CRM) system in place, there is one key r...

Related Tags (related articles): loans (783), strong housing gains driving economic growth (1)