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Posted on Fri, December 16, 2011 by Simon Bayliss

Ask the experts: What will 2012 mean for the housing market?

Inflation and the eurozone crisis will have a negative effect on house prices next year.

8:30AM GMT 16 Dec 2011

Kara Gammell

Propertyprices can be a depressing subject for both home owners and those looking to get a foot on the property ladder. In fact, while estate agents Knight Frank have estimated that the average house prices in the UK will have actually risen by 1.3pc by the end of 2011, with inflation currently at 5pc, property values are falling in real terms.

We asked industry experts for their predictions for what 2012 would mean for the housing market.

Despite fluctuating house prices, mortgage approvals have increased towards the end of 2011.

Houses

Up to 300,000 borrowers have switched roughly £60bn of mortgage debt from repayment to interest-only since the financial crisis struck in late 2007 (PA)

 



 
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