Property researcher Hometrack Ltd. has indicated that the rate of decline in UK house prices, which fell for a fifth consecutive month in September, may increase in the months ahead.
Based on a monthly survey of real-estate agents, Hometrack found that average residential costs have declined by 0.1% since August and 3.5% from the year before. Nationwide Building Society has stated that the debt crisis in Europe has undermined buyer confidence and led to the current downturn in UK property value.
Some from Hometrack have suggested that household incomes and general pressures on the domestic economy are taking a toll on potential consumers. Some expect to see a further decline in demand, and monthly price falls to continue into the final quarter.
According to Hometrack, in the nine months through September new property listings rose 22%, far exceeding the pace of demand growth, and the number of new buyers who are registering with real-estate agents has dropped from August by 2.6%.
UK House Prices Fall as Hometrack Forecasts Faster Declines - Bloomberg Businessweek