Property Values To Remain Flat In 2013
Residential property values increased by an average of 1.3% in December 2012 but according to the latest figures released by the Halifax, property values are likely to end 2013 at levels close to where they began.
UK Residential Property Market Expected To Remain Flat In 2013
The Halifax House Price Index revealed an average residential property price of £163,845 (GBP), up from £161,795 (GBP) in November 2012.
Over the course of 2012, residential property values have changed very little with six monthly rises and six decreases month-on-month.
Looking forward to the year ahead, the Halifax predicts 2013 will once again be flat for residential property prices with ‘broad stability’ in the market. It believes property values are likely to end the year at levels close to where they began
Figures measured on a quarterly basis are up 0.6%, the first time this has been positive in seven months amid signs of a firming in the housing market towards the end of 2012.
Prices in the three months to December were 0.3% lower than in the last quarter of 2011, the smallest annual decline since May.
Halifax economist Martin Ellis, said: “Overall, last year saw an even mix of monthly rises and falls as prices lacked any real direction as both demand and supply pressures remained largely unchanged during 2012. On an annual basis, prices in the final quarter of 2012 were marginally lower than in the last three months of 2011.’
Finance 4 Landlords Spokesman, Sim Sekhon, said: ‘There was some degree of strength in the UK residential property sales market in the latter stages of 2012. Property investors and first time buyers have seen greater product competition among lenders, including the development of better Buy To Let Mortgage products, which has resulted in better rates. The introduction of the Government’s financial initiative, the Funding for Lending Scheme (FLS) may have also helped play a part in strengthening the residential sales market. The good news for property investors and landlords who are looking to expand their property portfolio’s is that residential property values have been less than stable for some time now, due to low transaction levels.’
