2nd April 2007 10:03
According to Nationwide’s monthly property market report, inflation in March was down by 0.9% from February to 9.3%, indiacting a cooling property market after the Bank of England’s recent interest rate rises. Mortgage approvals and buyer inquiries at estate agents are also reported to have slipped since January. The month-on-month growth rate of property prices has slipped from 1.1% to 0.4% with the three monthly growth rate at its lowest since August.

In spite of this, the price of the average property continues to increase by more than £40 a day, or £1,250 a month, as the unbalanced ratio of housing demand and puts pressure on the property market. The average UK property this March cost £177,083, that is £15,000 higher than in March 2006.

Nationwide's Chief Economist Fionnuala Earley said: "In spite of the cooling in demand, the UK housing market will remain fairly firm in the short term, partly because of the momentum built up in the market that will take a few months to work through, but also because of supply constraints."

The reason for this, she explained was that: "Not only are insufficient numbers of homeowners putting their properties on the market, but levels of house building continue to undershoot the levels of demand. New data from the government shows an even higher expected number of household formations, yet house building targets remain woefully low, especially in parts of the South East.”

The number of properties predicted to be constructed in 2007 has gone up to 223,000 but as current house building figures stand at 200,000 this leaves a shortfall of over 20,000 properties. If the government’s immigrant projection is accurate, the shortfall will could be doubled, putting property prices at a premium. Experts expect investment in European property markets to increase as a result, particularly in promising emerging markets like Turkey.

Unaffordable housing for key workers - According to recent research from the Halifax, property has become unaffordable for the majority of Britain’s key workers, who include the police, nurses, teachers, social workers, and health care assistants. - 24th April 2007 09:58
Property prices peak in Brighton - According to research by the Halifax, Brighton is the UK’s top property market in terms of house price growth. - 20th April 2007 10:14
"Inheritance tax is here to stay", reports NAEA - According to The National Association of Estate Agents (NAEA), Gordon Brown’s announcement that inheritance tax will remain until at least 2011 indicates that the tax is becoming increasingly “main stream” and is likely to be a permanent fixture. - 13th April 2007 12:30
Brown resolves confusion over property tax abroad - For buyers wanting to invest in property abroad but avoid restrictive inheritance laws in countries like France, the idea of buying property through a company seemed to be the perfect solution. - 11th April 2007 10:24
Moving house costs triple in 10 years - The cost of moving house in the UK has risen dramatically in the last ten years. - 28th March 2007 10:24
Mortgage lenders achieve record month - The Council of Mortgage Lenders (CML) has this week announced the highest borrowing figures on record for February. - 23rd March 2007 17:34
HIP initiative confirmed - In spite of protests from the NAEA (National Association of Estate Agents) to the proposed Home Information Packs scheme, the Department of Communities and Local Government confirmed that HIPs will become law on 1st June 2007. - 21st March 2007 10:19
Brits spend £20bn on overseas property - According to a report published in the Financial Times, Britons spent nearly £20billion on overseas property in 2006, with the average purchase price at an equivalent of £98,167. - 14th March 2007 10:17
Demand for property outweighs supply in the South - Demand for houses in the South of England is outstripping supply, putting pressure on the property market and forcing house prices to rise considerably. - 8th March 2007 10:08