House Prices Up Across UK

House Prices Up Across UK.

Figures released by the Royal Institute of Chartered Surveyors suggest that house prices across the whole of the UK are now rising.

The biggest growth areas are those that were worst hit in the downturn i.e. the West Midlands and South Yorkshire.  The South East and London has continued to grow.

According to the RICS, house prices have now risen for 4 consecutive months and the trend looks set to continue.  Record numbers of new home seekers are now on the market and with the new government Help to Buy Deposit scheme in motion for new property and the Help to Buy Mortgage Indemnity Scheme set to start in January for new and old property, rises are expected to continue.

Comment
The government needs property growth to reduce the pressure of toxic debt on banking groups as well as that 'feel good feeling' that the nation is happier when we see our wealth in property accumulating.

Property inflation will rise, but given that the Government has removed the link to property prices inflation with the new Consumer Prices Index (CPI) measure for benefits and most company pension increases, which does not include property prices, the Government will not be stretched.

House prices are on the up and we anticipate a sustained period of 5 years property growth.