(1888PressRelease)
May 08, 2007 - A survey by Hometrack found that there are currently six regions in the UK where house prices are rising at less than the 3.1 per cent inflation rate of the UK economy as a whole - meaning in real terms, they are actually decreasing in value.
West Midlands property market prices, for example, are gaining by just 2.3 per cent a year, while in the North and the East Midlands annual house price growth has been measured at a meagre 0.9 per cent.
According to Harvey Williams, the West Midlands spokesman for the Royal Institution of Chartered Surveyors (RICS), these 'cold spots' can be attributed to the impending introduction of home information packs (Hips).
Homeowners are rushing to sell their properties, Mr Williams says, before Hips are rolled out - resulting in an oversupply of housing on the market.
"Research for just the past ten days has shown the number of properties coming on to the market is escalating at an enormous rate of knots," Mr Williams told the Express and Star.
"The number of houses on the market is up by 15 per cent on the same time last year, and we are not even into May yet."
The UK's leading quick sale property company, National Homebuyers, has been warning for six months of this problem. Director Julian King says: "We warned in October last year that areas such as Nottingham are feeling the 'pinch' and are turning to alternative ways to sell their property before the market turns rapidly backwards.
"The introduction of Hips, the sustained rise in interest rates, lack of confidence in the market and continued inaffordability of homeowners will continue to escalate the problem."
National Homebuyers information regarding property sales problems in Nottingham can be read here:
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