Imbalance between supply and demand pushes house prices even higher.

A second month in a row that house prices rose following reports from Halifax, inflation in the property market is showing no signs of slowing which is really a scary situation for the future of the country.

A 1.7% rise from December 2015, making the average price of a home or should we say investment property now at £212,430 according to Halifax which is equates to over 10% increase from last year

The situation is clear for many, a severe lack of new housing being built and added to that immigration in to the UK at unsustainable levels means the demand for a place to live, in some cases as recent news reports regarding rogue landlords have been showing, even a need for a roof over your head in over crowded conditions is increasing.

Is there going to be light at the end of the tunnel? Will the predicted off load of property from landlords, said to be around half a million properties, change the market condition out there?  Will the Government start building new homes or are they concerned that will cause a collapse of inflated house prices and simply put most of the country in negative equity so spending falls and recession hits? Martin Ellis, an economist at Halifax, is quoted as saying: “This situation looks set to persist over the coming months.”

Interest rates remain low, employment figures are high, though just how they are I am not sure with current immigration, mortgages approvals rising… Points to house prices going up, up and for many out there, up and away from our affordability.

Christopher Walkey

Founder of Estate Agent Networking. Internationally invited speaker on how to build online target audiences using Social Media. Writes about UK property prices, housing, politics and affordable homes.

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