We’re still early in the New Year, and 2015 is young, and that means another year of property fluctuations is in the pipeline. 2014 certainly had its fair share of talking points with regards to property, and it’s fair to say that an awful lot of them revolved around the ongoing drama of property prices in London. However, our very own city of Leeds also made numerous appearances, particularly due to its status as one of the most affordable UK cities to rent a property in. So, what can we expect from the next 11-and-a-bit months? Here are a few predictions from various analysts:
Growth in Property Prices
Over the course of 2015, house prices are expected to grow, although, as we mentioned in a previous blog, these rises are anticipated to be far slower than most of the recent trends have been. A general consensus among property gurus seems to be that a 4% rate of growth is a realistic expectation, but the reasons behind this figure are varied. It could happen as a result of…
- Nervousness in London. There’s a theory that London house prices will remain largely unchanged for the next 12 months, and that should restrict rising property prices as a whole.
- Election uncertainty. Until the result of the May election, housing market activity should be lower. However, the ongoing stamp duty changes are likely to have little or no effect.
- Low Bank rates. Some have suggested that interest rates could sink to record lows this year, and this development will undoubtedly have a knock-on effect on the property industry.
Added Demand for Homes
Demand for homes is not set to go up across the board. There’s a growing attitude in London that the breaking point has been reached with regards to prices, and so people are choosing to move out of the capital. However, other factors like above-average wage increases are expected to raise the demand in other areas, and thus prices are expected to pick up across the country as a whole.
Obviously there are many potential changes on the horizon with regards to UK property, and lots of uncertainty too, but remember that the Search Mortgage Solutions team remain on hand to guide you to the best mortgage deals, no matter what the climate might be. To get in touch with the best mortgage broker in Leeds, call 0113 367 2899 or email firstname.lastname@example.org today.