Expectations for the housing market 2016

December 30, 2015

As far back as I can remember us Brits have been overley obsessed with house prices, probably started when Margaret Thather came to power back in the late 70’s.

As we get close to the end of 2015 nothing has changed, property prices are again hitting what many see as unsustainable highs, this time the reason is being put down to supply not meeting demand, that is no surprise to me as we see ever inceasing numbers of people coming to the UK for one reason or another, be it Europeans coming here for work or lyfestyle to immigrants legal or non legal and refugees.

House building is underway and houses are being built, but it does  not appear to having any effect on  the housing supply side yet, is that because the influx of people coming to Britain is not stopping or subsiding? if that is the case then there seems little hope of getting the balance right and shortage of housing stock will continue as will the rise in house prices.

During 2015  average house prices across the UK have risen by 4.2% according to Land Registry figures, with some showing even bigger growth, that being  London where asking prices rose by 9.5%.

According to a recent report Estate Agent Knight Frank said, it expects prices to rise by 4.1% over the course of 2016, and by the end of 2020, prices will be 20.3% higher than they are now, but, as always, there are big regional differences.

Knight Frank’s head of residential research Liam Bailey reportedly said: “Values are growing more strongly in the South of England (particularly London and the South East) compared to slower growth in the North of England, Scotland and Wales.

“These regional differences are unlikely to unwind significantly in 2016, although the improving economic and employment picture, especially in the regions, will underpin pricing.”

Allen Walkey

Highly experienced businessman with a successful career in property sales and investment both in the UK and abroad. Now a freelance writer and blogger for the property and Investment Industry, keeping readers up-to-date with changes and events in a rapidly changing world.

You May Also Enjoy

Estate Agent Talk

Buying Alone? What Solo Buyers Need to Know Before Making an Offer on a House

Figures show that solo buyers accounted for 36.9% of Barclays’ mortgage completions in June 2026, as more people chose to step onto the property ladder without a partner beside them. Choosing independence over waiting for a joint purchase has doubled over the last 50+ years, with solo first-time buyers doubling from 15% before 1980 to…
Read More →
Estate Agent Talk

How to Make a New-Build Living Room Feel Less Like a Show Home

An empty new-build living room can be surprisingly difficult to furnish. The walls are freshly painted, the sockets are in place, and there is nothing to remove before decorating begins. Yet once the sofa arrives, the room can still feel unsettled: too bare in some places, awkwardly crowded in others. The answer rarely involves buying…
Read More →
Breaking News

Mortgage Borrowing Dip

Key points: Net borrowing of mortgage debt by individuals decreased to £3.9 billion in September, from £4.2 billion in August, below the previous 6-month average of £4.9 billion. Net mortgage approvals for house purchases decreased to 53,400 in September, below an average of around 58,800 over the previous 6-months. Approvals for remortgaging increased to 42,600…
Read More →
Breaking News

Autumn Budget 2026: Property industry reaction

Following today’s Autumn Budget, reaction from property industry experts on six key areas for the property market. First-time buyer support: The £4.7bn Your First Home equity loan scheme, supporting 70,000 buyers, alongside the introduction of a new First Time Buyer ISA. Inflation and borrowing costs: The extension of the fuel duty freeze, household energy support…
Read More →
Breaking News

Can you legally BAN Halloween Trick or Treaters?

People who dread the annual knock of trick-or-treaters may have more power to keep Halloween callers away than they realise. As millions of children prepare to take to the streets on October 31, a property law expert has explained what homeowners can do if they do not want strangers walking up their path or knocking…
Read More →
Estate Agent Talk

What the sector need to do differently to give first time buyers a chance

By Peter Hawley, Director, SOWN (part of LRG) The mortgage and property sector needs to stop assuming that younger buyers are either ready to buy outright or not ready at all. For many, the reality is somewhere in between. They may have stable employment, a deposit and a strong desire to own, but still find…
Read More →