Housing market feeling dazed and confused

Housing market feeling dazed and confused


It seems that the most recent predictions of the housing market’s health are at odds, with some reports claiming that things are looking up and others warning us to brace ourselves for the worst.

Consumer confidence in the property market is rising according to a new study, which reveals that 59 per cent of homeowners expect prices to rise.

Nicholas Leeming of Zoopla.co.uk, which conducted the study, said: “After almost nine months of falling confidence and falling house prices, it looks like the property market is now starting to turn a corner. Falling prices have created attractive buying opportunities and with continued low inventory of property on the market, homeowners are increasingly expecting prices to rise in their local area. We still remain somewhat short of the confidence levels seen in early 2010 but there has been a clear improvement over the previous quarter and this is welcome news.”

However, the Royal Institute of Chartered Surveyors (RICS) has reported that it sees no signs of the UK’s property market improving in the near future, and is confident that market growth won’t return to pre-recession levels anytime soon.

RICS spokesperson Ian Perry said: “The rather negative outlook for property prices across the UK seems to better reflect the general economy than the micro climate of London.

“The low level of buyer interest in many parts of the UK continues to impact on the market, resulting in some downward pressure on prices.

“With the prospect of forthcoming interest rate rises and continued shortage of mortgage funding, it seems that the overall recovery for the national housing market is still some way off.”

The institute carried out a survey which found ‘interest from potential buyers was starting to evaporate as sales and house prices stayed relatively flat’. 

Mr Perry added: “The survey is based on the answers of over 250 surveyors who work for estate agents around the country and is known to be extremely accurate.

 “Within England and Wales, a clear North-South divide is emerging, with London being the only region recording rising prices, demonstrating that the capital Is still operating under different market conditions to the rest of the country.”





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