Housing - Can't move? Won't move?

Fears of an economic downturn are beginning to hit home as consumer confidence in credit and borrowing falls for the second quarter running, with 91% of homeowners not intending to move and 48% of all non-homeowners saying they never intend to buy. That's according to the latest Personal Credit Index research from CreditExpert, the online credit report monitoring service from Experian.

Consumer confidence is at a marked low, with 8% of Brits concerned about their ability to pay bills and meet repayments.

Nearly one-third (31%) of young homeowners (aged 25-34) who are staying put are planning major improvements, including adding conservatories, loft conversions or extensions, fitting a new kitchen or bathroom.

Meanwhile, out of the so-called 'Resigned Renters' i.e. non-homeowners not intending to purchase - 46% gave the reason that they don't think they'll ever be able to afford to buy. This rises to 56% of 25-34 year olds and 60% of 35-44 year-olds. Location is also key, with 55% of people in the South of England believing theyll not be able to buy a property, compared to 39% in the North.

The Index also revealed that, despite the declining levels of consumer confidence, 40% of home-owning Brits think their house has risen in value in the last six months.

This figure rises to almost 49% in the South of England. And even in the North - despite consumer confidence three points below the national average - 44% of homeowners in the region believe that their property has risen in value.

27 February 2008 © Moneyextra.com

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