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Tuesday, May 31, 2011
House prices 'to rise by 4% a year' (but recovery doesn't start until Christmas)
9:16 PM
ms.tk
By Sean PoulterA four-year recovery in house prices – driving them up by 4 per cent a year – is predicted to start by the end of the year.The UK property market has hit rock bottom and will begin to turn around ahead of Christmas, it is claimed.But the recovery will be slow rather than a return to boom and bust, according to the Centre for Economics and Business Research.A separate study published by the Institute for Public Policy Research calls for measures to prevent house price bubbles. Mortgages should be capped at 90 per cent of property value, it says, with loans limited to 3.5 times household salary.Reckless lending in the past by banks...
