Press
House prices rise along with confidence
by Joy Dunbar
FinancialAdviser 14th January 2010
An increasing number of people are expecting growing house prices in the next year, according to the latest Worldwide Property Group survey.
The survey, which was introduced by the property investment group in July last year, revealed a big jump in house price confidence during December.
More than 65 per cent of those questioned said that they expected house prices to rise in the next 12 months, compared with 57 per cent in November.
Kevin Wilkes, managing director of the Worldwide Property Group, said: "This just goes to show that people are getting on with their lives and putting economic fears behind them. We have seen a dramatic increase in enquiries over the last six weeks, and with the optimism that a new year brings we have no reason to believe that this will not continue."
This survey also demonstrated the underestimated resilience of the property market, with 82 per cent saying that property still offers the best investment potential of any investment.
James Carter, principal of London-based adviser Independent James, said: "There seems to be a general increase in optimism at the moment. However, confidence was at a low ebb. Even though the outlook is uncertain, people feel more confident even though it is yet to be seen if that is misplaced."
Mr Carter said potentially it is going to be a tough year ahead because economic conditions are not necessary favourable for a housing boom or a strong recovery.
He said: "Unemployment usually continues to rise and it has not been announced that we are out of recession."