Consumer confidence in the outlook for house prices has continued to fall from its peak in July 2014, according to the latest Halifax Housing Market Confidence Tracker.
While the overall picture for house prices over the next 12 months is still robust, it has dropped to its lowest level since June 2013.
With Halifax forecasting an easing of house price growth to 3-5 per cent for 2015, the tracker shows there’s been a reversal of recent momentum. A higher proportion of consumers now believe the next 12 months will be a better time to buy than to sell – while the proportion thinking the next year will be a good time to sell has fallen to its lowest level since the end of last year.
Craig McKinlay, mortgages director at Halifax, says:
“The strengthening in the UK economy over the past couple of years has seen a steady convergence between the proportions of people who believe it is a good time to buy and a good time to sell. The outlook for house prices in 2015 is for growth to moderate but continue to increase, which perhaps explains why the proportion thinking it will be a good time to buy is again greater than the proportion thinking it will be a good time to sell.
“With an interest rate rise expected late 2015, possibly into early 2016 it will be interesting to see what impact the slight reduction in affordability has here.”
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