Rolling coverage of the latest economic and financial news, as house prices defy fears of a crash, on the final trading day of 2023
Jeremy Leaf, north London estate agent, say this morning’s report from Nationwide shows “house price resilience”, adding:
“Lower inflation and strong employment figures are reducing the sting of serious price rises and providing a more balanced market as we move into 2024.
“Looking forward, we see a slightly more positive outlook, with is likely to result in more transitions and prices bumping along a little lower over the next few months at least.”
As inflation falls, downwards pressure on mortgage rates means demand should strengthen and transaction numbers will move closer to their longer-term norms in 2024.
A tight jobs market, the availability of longer mortgages, the fact more homes are owned outright than with a mortgage and the absence of forced selling due to tougher mortgage stress-testing rules since the global financial crisis have all helped avoid steeper price declines as interest rates normalise.
Business | The Guardian
