Here’s some interesting property market optimism fuelled by the recent budget.
They predict there will be no effect on house prices this year but that prices will increase by 2.1% in 2014 and then 5% in 2015.
Peter Spencer, chief economist says, “…the chancellor has focused his fire power on the home front. And the timing couldn’t have been better. Real incomes are already starting to recover, mortgages are becoming more readily available, and homes are more affordable. Although it’s not a long-term strategy stimulating the housing market…will keep GDP growth positive”.
This prediction is made in the aftermath of George Osborne announcing the government will make £12 billion available to underwrite up to £130 billion of mortgages through the Help to Buy scheme.
As I’ve said in other posts anyone thinking of getting into buy to let or expanding their portfolio might not want to leave it too long.