Twitter Facebook RSS FEEDS

More of the same for house prices in 2012

Friday, 2 December 2011 2:25 PM

House prices will remain broadly unchanged in 2012 with a decline more likely than a rise and transactions will stay at current low levels.

That's the prediction from South-East based Townend Estate Agents despite government attempts to get the market moving with its housing strategy and autumn statement.

Group sales director Douglas Sleaper said prices across its network have fallen in the last year with changes very localised.

More affluent areas of London have seen price rises back to their peak of 2007 thanks to cash buyers chasing rising rental yields and long-term investment potential. But other areas in which first and second time buyers predominate have seen prices and transactions fall as a result of restricted mortgage availability.

He said: "Our expectation is that there will be nothing radically different in 2012.

"Nothing that the government has announced in their autumn statement is likely to make a significant enough difference to kick-start the housing sector and the abolition of the stamp duty holiday for first time buyers suggests that this measure hasn't worked."

Group lettings director Caroline Kavanagh said it was not possible for rents to continue to rise at the pace seen in the last year because of a surge in rental demand and a shortage of properties. She said that there are already signs that some tenants are looking at alternatives such as moving back in with their parents, downsizing or sharing.

But she added: "Heading into 2012, demand will almost certainly continue to outstrip supply.

"However, with signs that rents are stabilising, next year is likely to be more balanced, meaning landlords will have to be more realistic, perhaps weighing up the pros and cons of keeping a current and reliable tenant but accepting that the rental income will remain the same, versus facing the open market in a bid to secure a tenant possibly willing to pay more."

Want to be the first to know when we break a story?  on Twitter and subscribe to our free weekly newsletter. 

Related stories

Assetz predict many parts of the country will see no growth or even marginal price falls.

House prices: more of the same for 2012?

Assetz forecasts moderate house price growth in a nation split between London and the South East and the rest.

The banks found that 66 per cent of people think their home will remain at the same value. Image:Thinkstock

Most owners expect house prices to stay the same

Londoners most upbeat about house prices over next 12 months, find Clydesdale and Yorkshire Banks.
The number in the UK as a whole who expect a house price rise is now +7 per cent.

More expect prices to rise than fall in 2012

Halifax survey finds shift in opinion on rising house prices but heavy expectation of rising rents.

 Despite global price drops, Estonia bucked the trend.

Global house prices set to fall further in 2012

Prices fell in 60 per cent of countries in last quarter of 2011, says Knight Frank.

Halifax says low interest rates likely to keep house prices stable despite weak economy but warns of uncertainty over Eurozone. Image: Thinkstock

More of the same for housing market in 2012

Halifax says low interest rates likely to keep house prices stable despite weak economy but warns of uncertainty over Eurozone.

Zoopla.co.uk allows home hunters to sort their property search results by those that have been reduced most in price.

More sellers sticking to their asking prices

Almost £3bn cut from original prices of homes but proportion for sale at a discount has fallen, says Zoopla.co.uk.
Nationwide's index of consumer confidence fell to an all-time low in October.

House prices set to remain soft in 2012

Nationwide says rising unemployment and low wage growth counteracted by low building rates and ultra-low interest rates.

Almost half of people questioned think that property prices in their local area are above fair and reasonable levels.

Surge in buyers expecting house prices to rise

One in three home movers now expect prices to be higher in a year’s time, says Rightmove.
Job security is a major concern for consumers. Image:Thinkstock

Consumers more bullish about property prices

Four out of ten people now think prices will rise in 2012 but job insecurity a growing worry, finds BSA.

Despite a large house price rise the Queen has no plans to sell off Buckingham Palace. Image:All Star.

House prices 86 times higher than at coronation

As UK prepares for Queen’s Diamond Jubilee, HSBC crunches the numbers on 60 years of astonishing growth.

Search property

Headlines

Directory

Alaris

Alaris Logo
Alaris specialise in quality Bathrooms and Kitchens along with many other unique products for your home. The range of kitchens, kitchen worktops and bathrooms is extensive and the highest quality so you are sure to find what you want. New bathroom furniture, bathroom suites, taps, showers and cabinets are added regularly.

Bathrooms365

Bathrooms365 Logo
Bathroom365 supply all areas of your new bathroom - leading-edge designed bathroom suites, stylish bathroom taps and showers, all styles and forms of shower enclosures and a vast collection of bathroom furniture.

Fitmykitchen

Fitmykitchen Logo
Fitmykitchen are specialist suppliers of kitchen appliances, sink taps, waste bins and furniture. So whatever you want from kitchen sink taps to waste bins look no further than fitmykitchen, UK, the specialist suppliers of kitchen appliances, stainless steel sink taps, waste bins and kitchen furniture.

MyStampDuty

MyStampDuty Logo
We help people buying property all over the UK to minimise Stamp Duty Land Tax on residential and commercial property. If you are looking at purchasing a new home or business premises over £500,000, contact us today by completing the form on the right

Oak Furniture Land

Oak Furniture Land Logo
For hardwood furniture, including Solid Oak, Mango, Mahogany, Sheesham, Acacia, Ash and Birch, look no further than Oak Furniture Land.

Rated People

Rated People Logo
Whatever type of home improvement or garden remodelling project you have, Rated People can help you to identify the right tradesmen for the job in a way that is quick, easy, convenient and, as it is based on real-life recommendations, trustworthy.

Residential Land

Residential Land Logo
If you are looking for short or long term rentals in Central London, Residential Land have a portfolio of over 1200 flats and houses in the best postcodes across the Capital.

Simply Bedrooms

Simply Bedrooms Logo
Simply Bedrooms, a part of Sleepwell Bedrooms Ltd, supplying quality beds, wardrobes, sliding door wardrobes and bedroom furniture at low prices and great service, London and Home Counties Specialists.

Door Handles UK

Door Handles UK Logo
Door Handles UK is the UK's largest online range of Door Handle accessories, Door Hinges, Locks and Latches and so much more and all at genuine internet prices. We have a wide range of Chrome, Brass and Glass Crystal Mortice door knobs in both traditional and contemporary designs, whatever your taste and budget you will find a design to suit.

Woodlands Furniture

Woodlands Furniture Logo
We are an established family business situated in rural Herefordshire specialising in beautiful handcrafted classic reproduction furniture. Our comprehensive ranges are readily available from stock.

WowBBQ

WowBBQ Logo
Welcome to the World of Weber. We are the largest independent online Weber BBQ retailer in the United Kingdom. WOWbbq.co.uk is a Weber Partner Store and can give you the best advice for all your Weber BBQ needs.

Join our directory aboutproperty.co.uk

Twitter

Join the conversation at #aboutproperty

Directory articles

A guide to finding the right kitchen sink

When redesigning a kitchen or giving the room a makeover, it is important not to forget about the less obvious aspects of the space. Kitchen sinks are an essential fitting, but often overlooked, despite the fact there is a wide choice of styles available.

Useful tips to help find a flat in London

Looking for flats in London can be a frustrating process, given the capital's size, demand for rental accommodation and varying prices. It is vital, therefore, that you do plenty of research and act quickly to ensure you get the place that you want.

What do you need to consider when buying a mattress?

If you looking for a new mattress, you need to get the decision right, as getting it wrong could impact on your overall health and wellbeing. As well as comfort and size, you also need to consider other points, such as any health issues you may have.