According to the Telegraph, the house price correction in the UK is now over, so everyone can relax. They reference a report by the Centre for Economics and Business research which apparently states, house prices will actually “grow,” between the fourth quarter of 2009 and end-2010 and that, “there is a good chance that they will rise even more quickly, thanks to the unprecedented collapse in new homebuilding.”
Whatever the government press release farms (newspapers) might be saying, those who have tried to refinance with poor credit will know that the economic crisis is alive and well currently. The news from the UK is frankly shocking at the moment, and any suggestion of a house price recovery should be taken with a very large pinch of salt.
Numis Securities, a City investment bank, expects amateur buy-to-let landlords to begin “panic selling,” their investment properties as house values continue to decline in the UK, causing the average home value to fall below £100,000. Their recent report stated:
More on British Property Prices could fall another 55 percent
House prices in the UK are still falling, and at ever increasing rates. Prices fell 2.6% in November and are now 16.1% lower than last year. Realistically, this will continue despite the government’s ridiculous attempts to keep prices artificially high. Gordon Brown knows as much about economics as my pet goldfish.
More on Property Prices in the UK Continue falling – And They Need to Fall More
