Even though there is a current decline in the housing market in the UK, a new report by the National House Federation is predicting a rise in prices of 25% in the next five years. This was determined by estimating that an increase in housing demand and a decrease in housing production would make the difference. The Federation has requested that the government continue investing in affordable house for the expected increase in need.
In addition to the supply and demand for affordable housing currently, the supply and demand problem is becoming twofold by lenders cutting off its lending in an effort to maintain their services with existing applications being processed. Fortunately, the recovery is expected to begin as early as 2010, much to the relief of the homebuyer. For more information, please contact The Mortgage Shop