House prices are likely to fall every month until the Summer but could then creep back up, a housing expert claims.
Jonathan Rolande, spokesman for the National Association of Property Buyers, says: “I believe that there will be a slight recovery in January as the difficulties of 2022 fade in the memory after the Christmas break. That said, the outlook for the first half of the year is not great for prices. We should expect small drops each month for at least the first four to six months. There are reasons to be more optimistic in the second half of the year when activity should increase during the summer months.
“This will negate some of the price reduction but it’s looking very likely that by the end of 2023 there will have been no increase in prices and perhaps even a fall of up to 6%.
“But there are reasons to be more optimistic. In 2022 there were eight interest rate rises, five Housing Ministers, three Prime Ministers and four Chancellors. We had a fuel crisis, a post-pandemic slump and raging inflation. If the property market could withstand all of this, just imagine how easy things might be without such chaos. The property market has come through tougher times than this, and it will do so again.”
The Halifax Bank predicts prices will drop by eight per cent this year, although this drop would not be enough to wipe away all the gains made in recent years. With the average house price in the UK £296,422 according to the latest UK House Price Index measure, that would mean the average house losing £23,713 this year.
Zoopla anticipates a smaller price fall - just five per cent - while Rightmove suggests an even less substantial dip of just two per cent.
Want to comment on this story? If so...if any post is considered to victimise, harass, degrade or intimidate an individual or group of individuals on any basis, then the post may be deleted and the individual immediately banned from posting in future.
.jpg)
%20(002).png)
.png)
Join the conversation
Jump to latest comment and add your reply
I don't disagree broadly, a few months of drops before a very strong resurgence when we get the first rate cuts. I still see house price inflation in 2023 though, as with the last 4 years, in spite of Brexit, pandemics, wars, recessions, etc, these have been one off curve ball events that create a bit of uncertainty, but the sharks like to circle predicting financial misery whatever happens.
The underlying economic factors that cause house price crashes in 1989 & 2008 are not there by a long chalk. The supply and demand imbalance is off the scale, swap rates are dropping, money is still cheap, lenders are removing the MMR shackles, employment is at record levels, wages are rising, general confidence with those that are able to buy is good and rising quickly now we see inflation dropping, and a warm winter removing the spectre of it going higher. We need a few more glass half full commentators out there, confidence alone makes a massive difference to the outcome and how quickly it happens.
I do dislike the term property expert, unless of course it refers to ourselves!!!
For once I can agree with this expert though.
But it is early doors and lets wait and see what our glorious leaders have in store for us dastardly Landlords.
On a serious note if you have been holding off buying a property to live in get your offers in now as once sellers see prices going up then they will want more. It can take up to 6 months for a sale to go through. I'm selling a house which I accepted an offer in September and still told that the buyer is signing paperwork and then it will all be completed. Same happened to me the previous year, offer accepted in September sale eventually completed in middle of February!
Completeley agree Andy, trying to time the market with a 20-26 week transaction time is a fools paradise. The market turns literally in a matter of days, and then again days after that, as agents add 1% to every house that sells for asking price, and again every one after that, knowing they will get it. Anyone looking to buy wants to do so now before that happens and even now it may be too late as pipelines are often exposed to price increases. Got a feeling in my bones that mid/late spring will be turning point.
People that like to refer to themselves as '' experts'' are normally nothing of the kind
Expert aka ex-spurt.
Ex = has-been.
Spurt=drip under pressure.
Matthew, well not a hope I couldn’t care less what the Market does if they were half price without AST and Section 21. I wouldn’t buy at all.
Mr Gove will be pleased about that he wants us out.
Please login to comment