Expert makes property industry predictions

Posted: 04 Aug 2009 11:10:31 GMT

It would be a more optimistic view to suggest that the property market will "really start to improve next year", according to the head of mortgages at independent financial adviser firm Bestinvest.

Peter O'Donovan suggested that the two-year timescale predicted for improvement in property prices by the National Housing Federation (NHF) is "a bit too long".

"The recent increase in purchases that are going through - and the lack of stock - [suggest] that people may come in now and decide that the prices may start increasing," he explained.

Mr O'Donovan added that prospective sellers may feel house prices have reached the bottom and will act accordingly.

Confidence in the market could be set to grow over the next few months, the expert continued.

The NHF said earlier this week that property prices will rise by 1.1 per cent in 2011 and will continue to grow considerably over the following three years.


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