2010 is here and once again we will be concerned with house prices and which direction they will be going in, either recovery to 2007 levels or further downward. Just for a change House Price Spy will give you the most festive prediction yet:
Savills the estate agents are predicting a huge long term price rise of 40% in the next few years creating an average property price of £280,000 from the current £200,000. Prices rose by around 68% in the last 10 years before the fall, and Savills are predicting a 6% rise year on year driven by economic recovery and the lack of new build property. With the lull in the building we are not expecting a change to this factor over the next few years, which will be good for home owners. It should be noted that Savills are an estate agent and its their job to promote the market!!!
As with all the predictions this one is based on pre-election conditions, with the campaigning already underway for a summer election it is easy to prodict that everything will change by the end of the year and whoever is in charge will change legislation pertaining to property and finance. And while we are on the subject why are no two predictions ever the same? Every financial and property prediction is made to get attention for the paper/site/company involved as much as anything so its no surprise they are all different!