UK Property Values: Increasing over next 12 Months
In a recent study, it seems as though UK property prices are on the rise. After several years of decreased pricing across the UK, values are projected to increase throughout the next 12 months.
Optimism and confidence are at a three-year high as homeowners report increased values from the past month. These reports, from Markit Housing Price Sentiment Index (HPSI), show how individual households believe their property values will progress in the coming year.
London projections seem to be strongest, followed by the East Midlands and the North East. Many contributing factors have led to this positive housing outlook, including low interest rates and the government's multi-billion-pound housing plans. Buyers have decided to come out into the marketplace again, which has piqued interests. This projected and returned stability has extended beyond the large markets like London, and into the whole of the UK.
These UK property values also translate to rental properties and figures, as well. We are seeing an increase in rentals and expect the same pattern in the coming three months.
The sales figures from the three-month period up to May 2013 show that sales are at the highest they have been since January of 2010. While not nearly back to where things were in 2007, this kind of confidence in housing is exactly what is needed to return to the stable climate economists crave.
How has this current UK property values study and projection affected the way you view housing in your area? Do you see signs of a recovering housing market in your neighborhood?
Let us know your thoughts, comments, and the answers to these questions in our comment section below.
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