18-10-2007

Research shows continued confidence in housing market

News by Adfero from Simply Business - providers of independent landlord insurance, buy-to-let mortgages, business insurance, business finance and commercial mortgages

A majority of Britons remain confident about the UK's housing market, a new survey has revealed.

According to the results of data published by the Association of Investment Companies (AIC), despite the fact that seven per cent of non-investing Britons are losing money on a second dwelling or on a buy-to-let property, 62 per cent remain confident that house prices will continue to increase.

"The general public and active investors' optimism in the housing market could well be misplaced as there is increasing evidence that the housing market is slowing down following five rate rises and the recent credit crunch," said Annabel Brodie-Smith, communications director of the AIC.

Indeed, although six per cent of active investors are also losing revenue on a buy-to-let property or an additional dwelling, 44 per cent remain positive.

In related news, the recently published minutes of this month's meeting by the Bank of England's monetary policy committee show that the decision to keep interest rates at their current level of 5.75 per cent was made by a ratio of eight-to-one.


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