Is the UK Housing Market Back on Track?

Housing Market back on track? Tell me I'm wrong...per cent increase in the number of people registering
but I am getting strong vibes that there's significanttheir interest to buy a property in the first two
movement in the housing market. At Callaways inweeks of this year compared to 12 months ago.
Brighton Hove, our Estate Agency division, we areExpert Economic Theory
seeing a large increase in enquiries, many of whichI was delighted to pick up my local paper and read
are in a position to proceed. To back this up, therethat some expert opinion states the property market
also appears to be some positive press claiming thatin the UK could recover as quickly as it declined. This
levels of interest in the housing market aretheory is based on the key factor being interest
"recovered significantly" and that the market couldrates and the necessity of the drop being passed on
bounce back as quickly as it declined. Good news allto borrowers.
round; lets hope this is the case. Maybe consumerThe National Association of Estate Agents believes
confidence is down to the fact investors believe thatthat this year, may herald the start of house prices
the market has bottomed out and this is the time tobouncing back. Chief Executive, Peter Bolton
start buying again. All we need is for the banks tocommented that the sharp drop in prices was
start lending again, so why is the Government notunprecedented and it is possible that once the
putting on more pressure?recovery starts it could be as pronounced as the fall.
News provider Adfero states... David Adams, head ofHe claims three things are needed to return the
residential at Chesterton Humberts, has claimed thatproperty sector to its 2007 strength, an important
offer and viewing figures are "well up" on last year'sfactor in this is the lenders making finance available to
figures, as many buyers have realised they can "buyfirst time buyers. He also called for a further drop in
well and at low interest rates". However, he addedinterest rates by the Bank of England's monetary
that a key issue which is preventing people frompolicy committee. Finally he states that consumers
entering the market is the current lack of finance. Mrneed to regain their confidence in the ailing market.
Adams explained: "The high level of viewing activity,The news that Nationwide Building Society will not
offers and agreed offers are not translating intopass on any further rate cuts to the Bank of England
sales because the banks, which have traditionallybase rate to customers who have a tracker
supplied the necessary funding, are unable to lend."mortgage is not likely to inspire the confidence
The expert concluded that domestic lenders, includingneeded in the property market. This goes against
the government-owned Northern Rock, should fill theGovernment recommendations and Chancellor Alistair
"enormous funding gap" which is developing. HaartDarling's calls for lenders to pass on rate cuts.
estate agents recently claimed that it recorded a 54