The UK property market will see a gradual recovery in the next 12 months, according to the National Association of Estate Agents (NAEA).
The housing market has had a fairly stagnant year with prices rising and falling marginally, followed by tougher lending and higher deposit requests.
NAEA Chief Executive Peter Bolton King said; ìNext year will see a continued lending barrier facing those entering the housing market for the first time, with major lenders sticking to tight mortgage policies. Clearly, when the Stamp Duty holiday disappears in the second quarter of 2012 it will become even more difficult for first time buyers to access the market.”
“I don’t believe that we will see a significant fall in house prices over the next 12 months as some have feared. But equally, it is unlikely we will see any great upturn to help the market back to full capacity. It is likely that property transactions will remain at a similar level to that in 2011,î Mr Bolton King continued.
Despite this, one size does not fit all and the NAEA predicts that there will be a range of ëmicro-marketsí across the country with significant regional differences.
Rightmove found that stark regional differences already exist, with houses in the South of England costing twice as much as they do in the North.
This has added further value to London properties. This is the only region in the country where house prices are not falling.
However, according to Halifax, the average values are down nationwide by 1%.
The Nationwide report suggests that the housing market has remained ìsurprisingly resilientî and experienced a slight increase in property prices for November.
Despite this, there is little optimism for the housing market over the next year.
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