House price growth set to return

Posted: 29 Apr 2008 11:44:55 GMT

The UK property market is not likely to crash and prices should pick up towards the end of the year.

The UK property market is not likely to crash and prices should pick up towards the end of the year.

Assetz believes that talk of a major property price crash is unfounded and said that prices are merely levelling out following years of rapid growth.

The firm admitted that headline rates of growth are slowing but pointed out that further reading into price movements paints a different picture.

"Three monthly average house prices paint a much clearer picture of market performance and reveal that average annual price growth has now flat-lined at around zero per cent, with no significant decline having taken place," commented Stuart Law, chief executive of Assetz.

"As I have been stating for some time now, the housing market is very unlikely to crash. The fundamental economics of supply and demand support this," he added.

Mr Law also forecast that house price growth would reach five per cent by the end of 2008.

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