House prices are likely to stall next year as inflation continues to bite and mortgage rates rise. But rental prices will continue to increase despite affordability pressures on tenants, an estate and letting agent has predicted.
Given the pressure on household incomes, Hamptons said it forecasts prices to be unchanged in the fourth quarter of 2023 compared with the same period in 2022, with 0% change across Britain. Sales are expected to be hit next year, with a drop stemming from mortgaged buyers, particularly first-time buyers, according to the forecast.
The estate agent said 2024 could be a "year of recovery" helped by some pent-up demand from 2023. House prices are expected to be 2% higher in the fourth quarter of 2024 than in the same period in 2023, as reported by the Liverpool Echo.
