A new survey has revealed that many people believe the housing market will improve over the next twelve months.
The housing market changes on a daily basis whether its good or bad but it seems many Brits are holding out hope that the housing market will change for the better in the next 12 months.
It has been revealed that month on month from April 2011 to April 2012 house prices increased every month up until December which saw it fall slightly but then gradually started to increase again. This shows how volatile the housing market can be.
Property website Rightmove found that eight out of ten people who answered a survey believe house prices would be higher or stay the same level a year from now. Over a third of the 40,000 people asked believe that it would increase over the next twelve months. This is a positive forecast for the property market for the first time in eight months.
Another survey carried out by Halifax mirrored Rightmove with nearly four in ten predicating house prices will increase over the next year, and double the amount believe prices will fall.
However a fifth of people predict that house prices will be lower in a year’s time due to the availability of a mortgage, high deposits needed and fear of interest rates rising.
Miles Shipside, Director at Rightmove, commented on the survey: “Confidence plays an important role in motivating those who can afford to buy to actually go ahead.
“Many of them are hunting in the same better-heeled location, which in turn builds greater momentum and price rise expectation in these more affluent areas.
“Conversely, lower levels of activity in less well-off areas spreads negative sentiment, fuelling falling price confidence.”
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By Amanda Bainbridge