RICS agree with us

The Royal Institute of Chartered Surveyors (RICS) has released figures which suggest the number of sales could fall by as much as 40% this year, and have also forecast that house prices will fall by approximately 5% this year.

The figures seem to support the views of both us and other industry commentators, who believe talk of a 30% fall in house prices to be nothing more than scaremongering with little basis in fact. Indeed with interest rates forecast to remain level, and unemployment relatively stable, there does not appear to be huge scope for significant increases in arrears and repossessions.

There is a significant body of opinion that believes that homeowners will simply not accept that they have to effectively give their home away, and will sit tight and ride out the current difficulties. These latest figures from RICS seems to suggest this is exactly what is happening.