Buy property as prices fall

Thursday, 03, Jan 2008 09:02

The continued uncertainty over the future direction of UK house prices could prove beneficial to those looking to buy property, according to Miller Homes.

The property developer argues, due to shortages in supply, property will be a strong investment in the coming decade, and is encouraging homebuyers to make a purchase.

"It is so easy to forget that the property market has proven to be the best investment in recent years. House prices have risen consistently," said Carolyn Walsh sales and marketing director for Miller Homes.

She added: "With the population having just exceeded 60 million and projected to increase, it is easy to identify there is an ongoing supply and demand problem. Seeing where these indicators lead; demand will be constant or increase, not reduce in the medium to long term."

Indeed, some areas could provide stronger investment potential than others over the coming years.

For example the Oxford Economics market forecast predicts average house prices in the north-west are set to rise above £200,000 by 2010 - representing a 30 per cent increase on the present figure.

"People may think it is currently not a good time to buy but when prices are at their lowest and good incentives are offered it is the perfect time to move home.

"Unless you are downsizing, you never really benefit from the equity in your home, as higher prices apply to the house you are buying as well as selling," concluded Ms Walsh.