HBOS predicts 4% rise in 2007
According to the Halifx Bank of Scotland (HBOS), house prices in the UK will rise by four% in 2007, less than half this year's rate of growth.
A 4% growth would be the lowest for over a decade. The bank believes growth rates will fall from this year's rate of 9% under the impetus of higher interest rates – a further rate hike to 5.25% is widely predicted in the coming months – and higher living costs.
But the Royal Institute of Chartered Surveyors (Rics) has also released figures which predict a house price growth rate of 7% in 2007, with demand continuing to outstrip supply.
The outlook for first-time buyers hoping to get onto the property ladder, meanwhile, will be one of "increasing gloom", Rics claims.
A 4% growth would be the lowest for over a decade. The bank believes growth rates will fall from this year's rate of 9% under the impetus of higher interest rates – a further rate hike to 5.25% is widely predicted in the coming months – and higher living costs.
But the Royal Institute of Chartered Surveyors (Rics) has also released figures which predict a house price growth rate of 7% in 2007, with demand continuing to outstrip supply.
The outlook for first-time buyers hoping to get onto the property ladder, meanwhile, will be one of "increasing gloom", Rics claims.
posted by ew at
11:25 AM
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