HOUSE prices in England and Wales look set to end the year up 8.5 per cent and by 5.5 per cent in 2015, Hamptons International has announced.
In its updated forecast, the leading residential agent warned the pace of growth is already beginning to soften as sentiment has weakened, affordability constraints start to bite and both buyers’ and sellers’ expectations of future price growth moderate.
In addition the approaching general election is adding to caution in some sectors of the market and this, combined with rising interest rates, is likely to mean weaker price growth throughout 2015.
• Average prices in England and Wales are expected to rise by 8.5 per cent in 2014 and 5.5 per cent in 2015.
• There is still a clear divide between the South of England and elsewhere in the country with price growth expected to remain more subdued in the North and Midlands.