Rise Noted In British House Prices
Property values increased over the course of June, the publication of a new set of figures shows.
According to findings from Communities and Local Government (CLG), the average home rose during the month to 214,222 pounds, compared to the 210,793 pounds noted in May. As a result, year-on-year inflation was reported to stand at 12.1 per cent, up from the previous figure of 10.8 per cent.
Are Uk House Prices About To Crash?
With the Bank of England raising interest rates in recent months, many investors have started to question the long-term sustainability of the UK housing market. Could there be a housing crash on the horizon?
During 2005 and 2006 the UK saw some very low interest rates, with decisions being taken by the Bank of England’s Monetary Policy Committee to keep the base rate at 4.5%.
By August 2007 the Bank had decided to react to the perceived threat of inflation to the UK economy. Interest rates had risen to 5.75% in an attempt to allow the housing market to cool down and to restrict consumer spending.
