Housing market expected to remain positive in 2008

Tuesday, October 30, 2007

The Council of Mortgage Lenders expect house price inflation to remain positive and transactions to remain over 1 million in 2008 despite a decrease in growth.

House prices by the end of 2007 are expected to have risen 7% on the year and expectations are for 1% growth in 2008.

The housing market and mortgage market are facing challenging times but the 'credit crunch' has come at a time when the UK economy is in reasonably good shape.

Gross lending in 2007 is expected to be £360 billion and forecasts for 2008 are £340 billion.

Property sales are expected to be 1.17 million in 2007 and 1.01 million in 2008.

On a sad note repossessions are expected to increase to 45,000 in 2008.