You are here: cherry > Press releases for December 2010 > Comments from Nick Hopkinson, Director of PPR Estates, on today’s Rightmove House Price Index for December 2010

13 December 2010

“Despite the relentless positivity of estate agents in their enthusiasm to talk up the property market, UK house prices have gone nowhere in 2010. In fact, if you remove the distorting impact of high value, ‘Prime London’ property and factor in around 5% inflation then most homes are actually worth 10-20% less than a year ago. “The fundamental factors behinds this: economic uncertainty, mortgage famine, further Inflation above trend, tax rises and public spending ‘austerity cuts’ are going to remain with us for the foreseeable future. Against this backdrop, even the estate agents are already predicting a further 5% price drop next year. I fear they are being overoptimistic again, just as their thankless job requires. At PPR Estates we are forecasting 10% price falls next year for UK house prices. I understand that economic forecasting of this type is at best a ‘guestimate’ but any property sellers wanting to hold out for a higher price need to be prepared to wait for years, I fear.” If you would like to speak to Nick about any housing or mortgage market matters, please contact him on 07768 144497.