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UK house prices

Will Uk house prices fall or rise in the coming year ? What will the 2012 house market bring ?
We take a look at what the experts are saying and look to see whether the housing gloom is about to lift.

While the average house prices in the UK will have actually risen by 1.3pc by the end of 2011, with inflation currently at 5pc, property values are falling in real terms.

UK house prices for 2012 - Predictions Revealed

Rightmove expect UK House Prices to drop

Predictions for 2012 UK house prices

The Telegraph predicts 2012 will not see a revivial. They report “Inflation and the eurozone debt crisis will have a negative effect on house prices next year.”

This is Money’s property expert Simon Lambert speaks of  Estate agents claiming of a stand-off between sellers and buyers. The sellers reluctant to cut prices and the buyers unwilling to pay over the odds. Home sellers must either have a desirable property to sell in an in-demand area or be willing to lower their expectations, if they want to get a sold sign up outside their house.

Rightmove report UK House prices will show uncertainty. 2012 will be just as challenging as they’ve been in 2011. Asking prices are expected to rise by a mere 2%. Inflation-adjusted house prices will continue to fall in 2012, or at best stand still.

Your Mortgage Decisions predict great variances in house price movement across the UK. With the  south and in particular London and the home counties faring considerably better than northern England, Wales and Scotland. It would not surprise me to see some gains as significant as 5% to 10% within a commutable distance to London, as has been the case this year for pockets of desirable housing served well by schools, transport links and good community facilities such as leisure and retail. Other areas are likely to see a more benign outlook with a neutral to 5 to 10% decline in the areas of highest unemployment.

Capital Economics expect prices to decline by 5% in both 2012 and 2013.
UK House prices often follow the USA trend the following year. so while the UK doesnt have any exciting changes, The United States are predicting a better change. Newspapers in New York predict a positive outlook. Wall Street expect the U.S. economy to keep growing, albeit at a sluggish 2% annual rate but fast enough to avoid a recession. In the CFA’s survey, only 12% of respondents said they expect the U.S. economy to contract in 2012.

posted by Zane in Buying,Estate Agents,Guide,Property,Recession and have Comment (1)

One Response to “UK house prices”

  1. bmvscan says:

    Is BMV properties a Scam?

    There are ways to save money and one of them is “not to lose due to greed”.

    Now a days there are various companies offering you to take advantage of recession and provide you with “below market value / BMV properties”, some of the names are Choices Acquisitions part of bigger group and also operate as choices co uk estate agents, fasttrackproperty, Axis etc (google bmv properties).
    Most companies have free or reasonable membership fee (below £100) should you decide to become their member but some are over the top!!

    Over the TOP would ask you for 2 levels of membership, to get Auction listings you pay £250 and to be their so called “retained client” you pay £1800, yes £1800!!

    You will be made aware of lots of below market value property deals which can earn you or save you money and the aim is to get you on board as a client with positive feedback from (internet) clients you do not know or have any reference of. When you are up for the membership, you will be asked to provide your account or credit or, debit card details. Now be very careful here, sales people will be very fast, enthusiastic and quick enough to want you to confirm or “activate the membership” over the phone the moment you’ve given your financial details.

    Remember, once you have paid the “membership” money and activated your account you can never ever claim it back, “better think it’s lost” or stolen if you can live with that 🙂

    What are the real benefits in becoming a paid member, none!, Why?

    1. Auction properties: You can get them for free from any auction site, it’s simply free.
    Call the auctioneers and they will be happy to provide you with the list via email or mail they have to sell their stuff to you and make commission, don’t they.

    2. Some will tempt you as their retained client:- If by any chance you decided to become their retained client (where you are promised the listing of property 1st) by parting with £1800, you will be asked to “commit” to the property you have never seen in your life so that can be taken off the market.

    The moment you said yes, you are obliged to pay them their 2.5% commission upfront + any deposit required to secure the property (normally 10 percent).

    Now who in their right minds would agree to even commit to buy a property not viewed and give the fees upfront, which again cannot be “claimed back” !!

    What if the property you bought has major repair works OR

    Annoying neighbours, you might need some kind of insurance to protect you for few BMV deals. This could be the reason it was sold at less value in the first place.

    Leasehold flats in London unless in high profile areas of Kensington etc are very hard to sell if lease is below 80 years so beware on that too, properties are normally 15-20 percent cheaper already because of this.

    So few rules to remember when you are dealing with any company who asks you for membership fees and their commission or any form of payment upfront without the facility of viewing.

    Stay away from companies who asks for fees to be their client.

    Do not commit to anything over the phone!! In some and you can lose all your money paid!
    Only ask for written invoice and then decide should you get tempted for this money loosing “adventure”. Companies have “cooling off” period but if the invoice you receive is later then “cooling off” period?

    Do not give your account details over the phone, once gone, they are out of your hand.

    Do not pay upfront anything. If they want you as a client they can show you the property and give you a timeframe of 24 hrs to decide to put offer.

    Do not commit to or pay their fees upfront to BUY the property, only on exchange of contracts as that might never happen if the vendor decided to back out!

    All the above points are only for you to be safe and how to save money in current climate and put it to better use.

    You can search about some companies by googling their name and on sites like: moneysavingexpert and singingpig and newspaper site guardian, observer and property-system.

    Take care

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