Very Small Long Term Growth Expected Over Coming Years
Written by JDPGlobal | Thursday, 15 December 2005
The Council Of Mortgage Lenders anticipates a good comeback by the property market in the UK in ’05 and beyond. The association say that there will be a steady four percent hike in the market. It is a change for the better from no increase at all. Up to ’07, the expected rise is a modest one (say two percent) which is good given the previous months non-performance.
Since the market will be on the move, mortgages are expected to rise. Market dependants feel safe that even though sales will decline gradually from 1.23 million (at present) to 0.92 in ’07, re-mortgaging will have a field day which won't change over all business figures. With all these, surprisingly there is no hope in house price rise or even in the amount of transactions.
The fact the consumer is to afford what is on offer has made the scope of growth possible only in house prices. That too does not excite property business dependants because the expected growth is quite modest. There is not much excitement for business overall. Repossessions may lead the market in growth but that too will be comparatively small and trivial. Nothing to really be excited about. The Council of Mortgage lenders does business that makes up all but two percent of all the nations mortgage loans.
