Property Doom?

Britain looks set to finally exit the recession after a long old slog and the boom in commercial and residential property prices coming to an abrupt halt with house prices down 20% year on year by January last year. 2009 was a funny year for homeowners, house prices defied expectations after falling in the first few months and then rising by the summer whilst some still continue in places. Despite this it is widely predicted by housing market analysts that the housing market recovery is not as robust as the media may suggest.

Even the most optimistic forecasts seem to suggest that prices will remain static this year as the wider economy suffers growing unemployment and public sector cuts, along with possible tax rises and economic volatility after the 2010 general election.

Still, it is not all doom and gloom. There is hope in central London where buying trends are skewed by high proportions of super wealthy purchasers not needing mortgages and the growing number of foreign buyers taking advantage of the weak pound, may contribute to seeing price rises. Similarly those areas with infrastructure improvements, like Kent, which will have fast commuter train services may start to see rises rather than falls. Only time will tell what 2010 will bring, but the only thing that is certain at the moment is that there is no certainty.

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