You are here: Home - News -

House price growth to hit 3% by 2019 – Rightmove

by: Christopher Menon
  • 21/08/2017
  • 0
House price growth to hit 3% by 2019 – Rightmove
Estate agent Countrywide has forecast that although average house price growth will slow to 1.5% in 2017, it will increase to 2% at the end of 2018 and hit 3% by 2019.

Fionnuala Earley, Countrywide’s chief economist, said: “Economic conditions for households will remain challenging over the next year as inflation eats into budgets and interest rates begin to rise. In addition, fewer landlord purchasers and the later age at which people buy, is affecting the level of demand.

“But we expect the UK economy to recover and wage growth to pick up in response to global growth. That, combined with a continued lack of housing supply, will help to support house prices.

She added: “The housing market is sensitive to confidence which will be affected by the outcome of Brexit negotiations and the implications this will have – particularly on employment.”

The prediction contrasts with one from Oxford Economics earlier this month which expects house price rises to remain stagnant until 2021.

 

Regional disparities

These average price predictions mask wide regional disparities, as shown by the table below:

Average UK house price growth
Countrywide predicts that Greater London is likely to see average price growth slow to 0% in 2017 before rising by 2.5% in 2018 and 4% in 2019. After two years of falls, Prime Central London (PCL) will see price growth of 2% in 2017, followed by 4% and 5% respectively in the next two years.

The poorest average house price growth is predicted to be in the North East with prices flat this year, rising 1% in 2018 and 2.5% in 2019.

Earlier this month the Royal Institution of Chartered Surveyors (RICS) reported that house price growth is broadly flat, mirroring results issued by Rightmove today.

There are 0 Comment(s)

Comments are closed.

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.

Profiles

Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.

Marketwatch

Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.

Poll

Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
  • Jo Wilson from Legal & General Home Finance talks about her Best BDM nomination and her love for the equity release… https://t.co/0tHhv6Lwvc
  • Sponsored content: Four reasons your client wants a product transfer by Halifax Intermediaries… https://t.co/c1k3dj88LO
  • Nationwide trims rates as Accord ups cashback on buy-to-let deals - https://t.co/nbsZh3z49u

Read previous post:
Miles Shipside
Property price falls 0.9% despite strong regional growth

House prices fell 0.9% in August compared to July, continuing the stagnant market trend during the middle of the year,...

Close