After news last month that UK house prices were falling – an assessment which was backed up by a later survey by the Centre for Economics and Business Research (CEBR), which said it expected a 0.8% drop in 2015 – it may come as a surprise to hear that house prices are now expected to soar in the next five years.
The report, co-authored by internet real estate agent RightMove and economic experts at Oxford University, has revealed that by 2019 average property prices will have risen by a staggering 30.2%. Perhaps unsurprisingly, it is London that is predicted to be seriously affected. Prices in the capital look set to rocket by 33%.
In comparison, houses in the North West will rise in price by around 24% – this is the slowest in Britain, but is still a hefty percentage. The South East is the area expected to increase the most. There, house prices will shoot up by a colossal 37%, as people feel able to simply commute into London. Of all the areas studied, Southampton is now expected to become the centre of the housing boom, which will see prices go up by 43%.
This new report is considered to be one of the most comprehensive on offer. Not only did the study use asking and sold prices, along with surveyor valuations, but also analytics from global, industry and retail forecasting models used by Oxford Economics. RightMove director Miles Shipside claimed that ‘Understanding the path of future house price growth is a key element of UK economic strategy and decision making, and our data driven forecasts contain insight not previously available from other commentators or the Government’s own forecasts produced by the Office for Budget Responsibility.’
With high prices, it can be a serious struggling if you’re looking to get on the property ladder. That’s where we can help. Here at Search Mortgage Solutions, we can help. If you’re looking for a reputable mortgage broker in Leeds, simply contact us on 0800 756 7794 or free from your mobile on 0330 123 1077. Alternatively, you can email us at email@example.com.