• Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
  • Want to receive the latest contracting news and advice straight to your inbox? Sign up to the ContractorUK newsletter here. Every sign up will also be entered into a draw to WIN £100 Amazon vouchers!

You are not logged in or you do not have permission to access this page. This could be due to one of several reasons:

  • You are not logged in. If you are already registered, fill in the form below to log in, or follow the "Sign Up" link to register a new account.
  • You may not have sufficient privileges to access this page. Are you trying to edit someone else's post, access administrative features or some other privileged system?
  • If you are trying to post, the administrator may have disabled your account, or it may be awaiting activation.

Previously on "oh dear: House price 'slowdown' continues"

Collapse

  • Lucifer Box
    replied
    Originally posted by MrsGoof
    Don't panic, don't panic says Cpl Jones
    Too late, we're all doomed I tell you, DOOMED!!

    Leave a comment:


  • MrsGoof
    replied
    Don't panic, don't panic says Cpl Jones

    Leave a comment:


  • AtW
    started a topic oh dear: House price 'slowdown' continues

    oh dear: House price 'slowdown' continues




    House price 'slowdown' continues

    Annual house price growth has slowed to its lowest level in nine years, according to the Nationwide.

    Prices fell a seasonally adjusted 0.2% in August, the society said, leaving the average cost of a home at £157,310.

    Annual price growth fell to 2.3% from 2.6% in July. However, in the three months to August prices grew by 0.3%.

    Prices were experiencing a "continued controlled slowdown", Nationwide said - in line with the view that the market is heading for a soft landing.

    'Increased optimism'

    "In spite of a fair deal of bearish comment, the housing market has remained quite resilient this year following last year's interest rate hikes," Nationwide group economist Fionnuala Earley said.

    Housing market 'to flatline'

    The figures were in line with recent surveys from the Land Registry and Office of the Deputy Prime Minister (ODPM) which showed annual house price inflation fell from almost 20% a year ago to about 5%.

    Ms Earley said that activity was increasing with monthly purchase approvals on the up and estate agents reporting that sellers were now willing to adjust prices.

    "This, along with a cut in interest rates, has made it more of a buyers' market - which has led to increased numbers of buyer enquiries and increased optimism about sales from estate agents," she said.

    Affordability worries

    However, Ms Earley warned that the appearance of a stabilising market did not necessarily signal a renaissance.

    Homebuyers look at house
    First time buyers are still finding it tough to get on the property ladder

    "Even though wage inflation is almost twice the rate of house price inflation, affordability is still an issue particularly for first-time buyers, and it will take some time for the balance to be redressed."

    Looking ahead, Ms Earley said she expected the market to continue to cool in a "controlled fashion".

    Ed Stansfield at Capital Economics said the figures were "no surprise" and showed the Nationwide's figures were catching up with "long standing anecdotal evidence" of a market slowdown.

    "We're set for a period where there'll be a steady drip feed of falls," he said.

    Steady slowdown

    Price declines experienced in London and the South East are set to spread across the country he added.

    The UK property market has been slowing steadily over the past year, but most housing experts do not expect a dramatic slump in prices.

    Earlier this year Capital Economics had predicted a 7% fall in prices during 2005. However, in June it said its original forecast was too "gloomy" as the market appeared to be undergoing a correction.

    It now says a fall of around 2%-3% is more likely. "We wouldn't expect to see a rapid change in the rate of fall," Mr Stansfield told the BBC.

    Last month, a study by the Centre for Economic and Business Research predicted that prices would fall 5% by 2007, but said that fears of a crash have been overdone.

    --------

Working...
X