According to BBC1′s Property Watch, “recovery is all about consumer confidence”, only to some extent. The recovery of this property market is about one main thing and that’s the need for 90% mortgage lending to come back. It doesn’t matter how confident we all are, until proper, sensible lending comes back, the market can’t move forward that much, it’s basically stuck. So will prices continue to rise over the coming months? The answer to this is yes and no, oh and also ‘it depends where you live and what property type you have!’.
The market is currently moving forward well versus previous months as property investors and people trading up as well as confident First Time Buyers are starting to buy. Sellers have decided to either drop their price to secure a buyer, or they have taken their property off the market and less properties are being put up for sale.
The result being that up until summer months of July/August, activity will continue to improve in areas where supply versus demand is matching and where property types, such as some city centre flats are still oversupplied, prices will continue to fall. July and August will be quiet months and the media will be full of ‘doom and gloom’ again. There will be another flurry of activity from September through to the end of October and through November and December the markets will go quiet again.
