DESPITE BEING “in the doldrums” for the last six years, the west Fife housing market is slowly but surely starting to recover, according to a leading Fife estate agent.
Michael Maloco, who runs Maloco + Associates in Dunfermline, told The Courier he had witnessed various trends in the property market, in particular in the rental sector, since 2007.
“It has quite literally soared, with rents rising by 20%,” he said.
This, he believes, is because first-time buyers have struggled to secure adequate funding to step onto the property ladder.
With regard to the housing sales market, Mr Maloco said: “We have witnessed a drop in buyers, especially first-time buyers and, as a consequence, prices are now between 15 and 20% below their peak in 2007.
“Traditional properties in Dunfermline and Crossford, Limekilns and the like have seen the most modest falls at about 10% whilst former local authority stock in the west Fife former mining villages have fared worst.
“First-time buyers are thin on the ground as mortgages have been restricted to this sector with most needing a 20% deposit to secure funding.
“This has begun to ease a little, however, with a few 90% and 95% mortgages coming back into the market, but these are not available to all, having quite strict criteria attached.”
Mr Maloco said the Government’s Funding For Lending policy had also helped lenders leading to his company noticing a slight upturn in housing sales recently.
“In general terms, since late 2007, the housing market has been in the doldrums, but in terms of the sales market the worst is almost certainly behind us,” he said.