What Is The Future Of The Property Market

2010 is looking set to be another difficult year for homeowners who have not got the cash to invest according to predictions by Matthew Sinclair, the Director of Saint Property.

Although those who are in a position to purchase will have plenty more choice during 2010 with top end properties dropping in value; for those who are unable to raise 15%-40% deposits may still be restricted on their lending options.


During this discussion, Sinclair predicted further trends for the New Year:

• With UK debt at record highs, it is expected during the coming election that taxes and unemployment will increase (particularly in the public sector); pay will freeze and property prices will be adjusted across all sectors of the market
• Although property shortages have led to an increase in transactional activity, only property investors who have got the cash to invest will be able to purchase and get the best property deals
• Lending will ease over the next 12 months, but will still remain tight
• Properties valued above £1million will be hit hard, causing increased property supplies. Those predicted to be hit hardest will include large residential and rural properties (estates and farms)
• Top end properties already for sale will witness further reductions in their property prices over the next year
• Supply will outstrip demand for a period of time, which if accompanied by interest rate increases will prompt this property supply to grow and filter out into the property market creating more competition
• Downsizing and debt reduction (on a personal level) will continue to grow, so property investors in a position to buy will have plenty of property investments to choose from
• Investment will flourish for those looking to generate an additional income. Those showing most promise include gold, land, forestry and property investment

Original Article

More About the Author

Peter Franklin, Property Mentor Delegate

I used to believe stocks and shares were the only way forward, yet after 15 years of property investing, neither of these can compare with the sheer velocity or impact that property investment can have on your bank account. Only with property can you truly experience the power of being in control of immediate cash flow AND capital appreciation. Stocks and shares simply cannot compete. Read more