Property Prices Rise By £10,000!
Despite economists predictions that 2009 would end with further property price falls, top leading lenders such as the Halifax have reported an annual increase of over £10,000.
In fact according to their statistics, property values have risen by 9.4% in the last 6 months, bringing UK property prices up to an average of £169,042.
And these figures present a very different story compared to what economists believed would occur at the end of 2008…
Against the odds of growing unemployment and tighter lending criterion which they believed would force property prices down, the opposite scenario appears to have occurred…
Supported by the Bank of England’s decision back in March to cut the base rate down to 0.5%, leading lenders have followed suite by lowering their interest rate options and reducing the burden of servicing a mortgage to budding property investors/homeowners.
And as a result, these falling rates have prompted a revival in property interest which has not only stimulated demand for property, but has triggered a mini property price boom.
As the property market currently stands though, economists feel depending on how the economy evolves and whether properties sales continue to grow in the run-up to the general election, property prices may flatten during 2010 and become static.
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- Property Prices Rise By 0.2%
- Property Prices To Boom During 2010!
Tags: economists, property investment, property investor, property prices, property value, the Bank of England
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