21/01/2008
After a decade of strong house price rises we are now entering more uncertain times with credit becoming harder to obtain, banks struggling to borrow from each other and estate agents reporting reduced sales – Is it doom and gloom?
Well, whilst some pessimists think house prices will fall during 2008 the concern seems to be for zero house price inflation, with regional variations.
Estate agents are pessimistic about the first quarter of next year and brokers will therefore be keen to discuss remortgaging. Volumes here could be £170 billion across the industry with many customers coming to the end of low fixed rate deals and not wanting to move to much more expensive standard variable rates.
Let’s hope for early interest cuts to stimulate house-buying activity.