Hennessy Bowie Solicitors News
Hennessy Bowie & Co has been practising in Bishopbriggs for some twenty five years, principally in the areas of domestic conveyancing, commercial conveyancing, commercial leasing, executries and matters relating to care for the elderly,
House Price Confidence Remains High
Confidence in the outlook for house price growth appears to be unaffected by a sharp rise in the proportion of the British public who are expecting an interest rate rise in the next 12 months.
According to the latest Halifax Housing Market Confidence Tracker, continued talk over the likely timing of an interest rate rise has seen a spike in the number of people who expect both mortgage and savings rates to be higher in 12 months’ time.
Alongside annual house price inflation running at 9% and the average house price standing at £204,674, house price optimism remains high (+63 in Q3 from +64 in Q2), with 68% of Britons now expecting the average property price to be higher in 12 months’ time and just 5% expecting it to be lower.
At the same time however, the Tracker found that there has been a further fall in the proportion of Britons who think it will be a good time to buy in 12 months’ time, from 56% in Q2 to 53% in Q3.
There has also been a drop in selling sentiment, with the proportion who believe the next 12 months will be a good time to sell falling seven percentage points to 52% from 59% in Q2. This brings positive selling sentiment back down to the levels seen in early 2015 and it is now at its lowest level for a year.
Regionally, lower levels of people in London report a positive buying sentiment (just 40% said they thought the next 12 months would be a good time buy) compared to Scotland (77%) and North England (58%).
Conversely, in terms of positive selling sentiment, 64% in London believe the next 12 months will be a good time sell, compared to 48% in Scotland, 47% in North England and 43% in the Midlands.
“The factors behind the upward pressure on house prices include the continued lack of second-hand properties for sale on the market and the availability of low mortgage rates,” explained Craig McKinlay, Mortgage Director at Halifax. “Without an increase in supply it’s likely to mean that house price growth continues to be robust in the short-term, even if interest rates eventually begin to increase.”
For advice on buying or selling your house in Scotland then contact us today. To make an online enquiry please click here or call us on 0141 775 0005.
Please login first in order for you to submit comments
Let us know how we can help - complete our online enquiry