Peter Rollings commenting in response to the latest figures from Halifax's House Price Index
Thu 06 Oct 2011
"Halifaxs figures point to a rather gloomy outlook for the national housing market in September, but there are certainly signs of life. Mortgage lending has picked-up in recent months, and the current price war between lenders is making mortgages increasingly affordable. For those with decent deposits or equity, its never been cheaper to borrow and this has prevented more significant price falls in many parts of the UK. In the capital, the housing market is already going from strength to strength as both international and domestic investors look to the continuing safety of Londons bricks and mortar rather than riskier ventures as the stock market turmoil continues. We are yet to really see activity and house price rises ripple out from the M25 in 2011, but if home loans continue to become cheaper and the number of borrowers able to access mortgage finance continues its recent improvement, increasing buyer demand across the country will prevent Londons housing market from pulling away at quite the same pace."