Latest Expert Witness News

London housing market improves

The U.K. housing market improved in June as more London estate agents and surveyors saw home values increases for the first time in 20 months.

The two-year long reduction in prices may be starting to end as the market starts to emerge from its deepest recession in a generation. The Bank of England recently declined to extend its emergency bond-buying program, waiting until next month to reexamine its forecasts for economic growth and inflation.

A majority of surveyors now expect property prices to increase for the first time since May 2007, The outlook for house prices may be brighter because of a shortage of homes on the market. The average number of properties on agents’ books fell to 56.9 from 58.5 last month, a drop of 32 percent from last year.

The RICS index for prices was positive this month for London, the southwest and the southeast of England. But not nationwide the lowest index reading was for the West Midlands, where it was minus 48.

The Bank of England has kept the benchmark interest rate at 0.5 percent and refrained from expanding its 125 billion pound asset-purchase plan. Policy makers will make their next interest-rate decision on August 6th.

back