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Will House Prices Crash?

The question of what's going on with the UK housing market is dominating more and more news headlines, with surveys coming out seemingly on a daily basis.

The latest research appears to shows that potential househunters are losing confidence in the market, according to a report by assertahome.com. Their figures for the month of September reveal that some 32% of househunters now expect that house prices will fall during the next year.

This comes hot on the heels of reports from the Halifax, Nationwide and Hometrack, all of which showing that the housing market is slowing down. The Bank of England's interest rate rises have definitely played a part in this but it seems that suggestions that those rate rises have come to an end have done nothing to improve the confidence of many.

Evidence seems to suggest that house price falls are largely being seen in the South and this is reflected in the findings of the assertahome.com survey, which shows that Southern property hunters are most gloomy about the future.

Some estate agents have suggested that the South is feeling the earliest effects on any price falls because average property prices are higher and it is the top end of the housing market that is the first to be hit.

Are house prices set to fall?

For the very latest news check out our house prices analysis.