Record start to 2010
CPS Homes start the year with a record number of sales enquiries from both owners and potential buyers.
2009 which started with predications of doom and gloom with varying forecasts of price falls some as high as 40%, 2010 gladly has started with a bang. In 2009 the sadistic predictions were at first quietly dispelled before being completely smashed in the second half of 2009 with the UK’s housing market finishing up 5.9%
As for 2010, Taking everything together, there is still a significant amount of uncertainty surrounding the outlook of house prices. Last years surprising recovery has to some extent been driven by transitory factors and there are reasons to believe that it will lose momentum over the coming year.
At the same time, there is no obvious catalyst on the near-term horizon that would trigger significant renewed falls in prices, such as a sharp spike in interest rates or a further pronounced tightening of credit conditions from present levels. At this stage, therefore, it seems likely that 2010 will see no significant house price movements in either direction. However, the experience of 2009 demonstrates how unpredictable the market is at the current juncture and that one should always be prepared for the UK housing market to surprise.