House prices 'sure to keep falling'

Posted: 04 Dec 2008 10:07:56 GMT

The idea held by many that Britain is suffering from an under-supply of houses and therefore prices will stabilise soon is misguided, one analyst has claimed, suggesting instead that 2009 will bring only further house price falls.

Jon Bell, of Shore Capital, explained that, "while there may be demand from young professionals for pied-à-terres in the likes of Manchester this is far outweighed by demand for homes in suburbia".

His comments also hint that only the banks can help the property market by lending more, but with the Crosby report recently suggesting that this will not happen without government support it is unlikely that house prices will stabilise in the next nine months.

With house prices set to continue tumbling, the time may be ideal to purchase a property in order to take advantage of the bargain discounts.

Buying from alternative sources, such as online property websites could lead to further discounts, and a wider range of properties available.



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