Housing boom "at an end"

30 June 2003
UK house prices remained constant in June, according to property company Hometrack.

Prices fell by 0.1 per cent during the previous two months but now appear to be stagnating as the trend confirms that the house price boom appears to be coming to an end.

Hometrack's housing economist John Wriglesworth commented, "The south has seen price falls decline and the north has seen price rises decrease - house price stagnation is now more prevalent

However, he said there did not appear to be any evidence to suggest the crash that some experts have been predicting."

Prices rose in several areas of the UK, with the highest rise recorded in Cumbria (+0.5 per cent), East Riding (+0.3 per cent) and Mid Wales (+0.3 per cent). However, house price falls in London and the southeast continued.

Hometrack also said there is more evidence that supply is overtaking demand. The number of properties listed grew by four per cent in June, while the number of new buyers rose by less than one per cent.

Sellers received just 93.4 per cent of their asking prices during June, the survey shows - the lowest proportion in two years.