Think tank the Centre for Economics and Business Research has trebled its forecast for house price growth this year, saying that supply shortages will force prices to a record high.
The CEBE now expects house prices to grow 4.7% rather than the 1.5% it predicted just four months ago in March.
It is now forecasting that UK house prices will reach a “record” high of £261,000 in 2015.
If they do, that figure will still be less than the latest ONS figure for May, which gives the average UK house price as £286,000.
That’s the trouble with all these forecasts and house price surveys. Who to believe?
Comments (3)
Someone show me ONE forecast they’ve actually got right – whether it was the first or twentieth attempt at it…
They may go up drastically, but that just means it’s got further to fall when we eventually go into another crash, which isn’t too far away.
Forget these theoretical reckonings why is there a disjoint between ONS stats and land registry stats of about 30%?