What happened in 2012?
With only the data from December to come in from the RICS Land Registry, property prices for last year in the UK show a rise of 0.9% in 2012. This is in line with our predictions for 2012. Most of the ‘experts’ predicted big falls in UK property prices, so the small growth we saw last year is excellent news!
What to expect with property prices in 2013?
The general consensus in the property industry is that the UK housing market is looking healthier.
The government’s new ‘Funding for Lending Scheme’ should help boost the UK housing market in 2013. If the scheme proves successful then mortgage rates should come down and we may even see increased lending. This can only be good news for property prices.
So what is our crystal ball telling us for 2013? We predict slightly increased growth on last year – somewhere in the region of 2-4%. This would make it a good year for investing in property, especially as rental returns are excellent at the moment.
So we see house prices rising between 2-4% this year – what does everyone else predict?
Office for Budget Responsibility 2.7% Growth
RICS 2% Growth
Hamptons 2% Growth
Rightmove 2% Growth
Knight Frank -2% Decline
Whoever you choose to agree with, it’s good that confidence has returned to the market as that is half the battle. 2013 looks like it should be a solid year for property prices.