Property market is well supported

Posted: 15 Apr 2008 11:11:21 GMT

The Royal Institution of Chartered Surveyors (Rics) has revealed that market sentiment is at a 30-year low but another leading organisation has claimed that it is not all doom and gloom.

The Royal Institution of Chartered Surveyors (Rics) has revealed that market sentiment is at a 30-year low but another leading organisation has claimed that it is not all doom and gloom.

According to the National Association of Estate Agents (NAEA), there are many positives to be taken from the Rics survey.

Most notably, the organisation pointed out that Rics figures are not definitive and need to be looked at in context.

"Rics survey showed that just under a quarter of its respondents appear to have reported a rise in house prices, which shows how regionalised the picture is," said Peter Bolton King, NAEA chief executive.

"We do need to exercise discretion in the figures, for instance the report states that the East Midlands is showing falling prices, yet the recently released Halifax house price index showed a 2.2 per cent rise in the same region.

"This also needs to be set against the fact that these areas have seen huge price rises over the last ten years," he added.

Mr Bolton King also highlighted that low unemployment, low interest rates and demand for housing are helping to support the market.

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