Report says house price rises are slowing down

19/12/02
Housing boom "burning out"

It's been a mad year for the housing market, but at last it looks like things might be settling down.

A survey by the Royal Institution of Chartered Surveyors (Rics) has found the rate house prices are rising at has been slowing down for the last three months.

	There is already a slowdown in price inflation evident in southern England the other parts of the country should follow next year.
	Ian Perry , Rics

The slowdown has yet to reach northern regions. In areas like the North East, North West, Yorkshire and West Midlands prices are still shooting up.

Rics reckon it's only a matter of time though, their national spokesman Ian Perry said:

"Looking ahead to 2003, we expect to see house prices rise by no more than 11 per cent in the year, reducing to five per cent in 2004. There is already a slowdown in price inflation evident in southern England the other parts of the country should follow next year."

So what do estate agents think?

Andrew Evans of Marques Property, Southampton told 60seconds, although rises are slowing down in Southampton, he's not expecting a fall:

"The way prices were rising couldn't last, the market's just settling down. But we've still got plenty of customers wanting to buy here. I think it's important for people to remember that prices are still going up, just not as quickly."

Peter Cooper of Bloomsbury property services, London says in his area prices will always be high:

"With all the conflicting reports, it seems like experts don't know what's going on. Prices aren't rising as sharply, but in central London there'll always be huge demand. There are highly paid jobs here and, especially with all the transport strikes, people want to live close to work"

David Pank, sales director at Manning Stainton, Leeds told us that price rises were slowing in some areas while others were still booming:

"Northern areas that were hit by the housing boom later are playing catch up. Here in Leeds, property prices in the more properous northern areas of the city are rising more slowly. But in the southern areas prices are still rising fast."