“Today’s GDP announcement of 0.8% growth for the third quarter is a welcome surprise. This indicates that the UK market may be more resilient than many economic forecasters had predicted. We are by no means out of the woods yet, but the continued strength of manufacturing and the service sector shows that the private sector may well prove to be the employment generator that Government needs.”
“We are hopeful that this news will arrest some of the negative sentiment that is weighing down on demand in the housing market. Across the Hamptons International network we observed a marked reticence from buyers leading up to the Government Spending Review; perhaps this will be the catalyst to encourage house hunters back into the market in greater numbers.”
“A strong economy is a necessary condition for improvements in the housing market. Alongside this, lenders may then be willing to adopt a less restrictive approach to the provision of new mortgages. This is the single most significant constraint to a more stable housing market at present.”
Adam Challis
Head of Research
Hamptons International