House prices are still on the up

Date: Wednesday 02 September 2009

New figures released show house prices rose by 1.6 per cent in August and are rising at the fastest rate for two and a half years.

Low interest rates have helped to make properties more affordable for first time buyers while the Government's £50 billion injection of cash into the economy through the quantitative easing programme was also fuelling the housing market's mini-boom.

The Times reported “Increased competition to buy the limited number of homes on the market has halved selling times in London over the past year. Vendors now wait an average of 4.7 months from the time their property is put up for sale until completion, against 8.6 months a year ago, according to Cluttons, the London-based estate agency

with the Daily Telegraph stating “A third of home owners are not prepared to drop their asking price to sell their property following signs that the housing market is picking up, a survey has showed. Around 35pc of people with a property on the market said they would not accept an offer of less than the full asking price, according to the Co-operative Bank”