Some Much-Needed Cheer | 25.09.2009

Recent house price surveys have homeowners some much-needed cheer – yet a major economic survey this week claimed that the recovery in the UK property market may be five years off. Find out whether your home is set to retain its value in the months and years to come Homeowners received conflicting signals about the health of the housing market this week. Official figures from the Department of Communities and Local Government (DCLG) show that house prices rose by 1.4% in September – although they remain 8.3% lower than in July 2008.

At the same time the Royal Institution of Chartered Surveyors (RICS) reported that more estate agents are saying that prices are now rising rather than falling for the first time since the start of the credit crunch.

Both reports provide evidence that the property market may have finally turned. Other indicators include a modest increase in the number of mortgage products coming on to the market and an increase in the number of mortgages being granted.

Figures from industry body the Council of Mortgage Lenders (CML) show that the number of loans approved in July was 24% higher than in June and 19% higher than this time last year.