Housing confidence slump

Confidence in the UK housing market has fallen considerably, according to This is Money.

A new survey reveals that 75 per cent of UK homeowners expect house prices to fall in 2008.

Further to this, 52 per cent anticipate seeing the value of their properties fall by 11 per cent, taking £21,500 off the average property price.

The slump in confidence is largely down to the global credit crunch, which has caused the housing market to slow.

"The results of the poll conducted during December stand in stark contrast to the optimistic mood a year ago, when one third of people said prices would increase by more than six per cent in 2007," stated the This is Money website.

Nationwide recently predicted that annual house price growth would be zero per cent in 2008, while Hometrack is slightly more positive, forecasting a one per cent increase over the next 12 months.

Related Articles