Peter Rollings commenting on this mornings mortgage lending figures from the Land Registry
Mon 01 Jun 2009
This is the bottom for house prices especially in London. The Land Registry is the most reliable index and it confirms what Nationwide has seen in the past couple of months. Were not going to see prices recover quickly, and yes, average growth will keep flitting up a bit and down a bit over the coming months. But were bumping along the bottom of the market now and will continue to do so until the end of the year.
Theres a severe shortage of stock on the market and with prices down by up to 30% - the value in the London market is encouraging buyers with large deposits, cash buyers and foreign investors to invest in London property. The Bank of England must continue with their programme of quantitative easing on Thursday recovery in the mortgage market is essential to sustain this improvement.