Evening Standard
House prices in London will not crash this year, according to the majority of pundits. They believe prices will freeze - although a handful of experts are more optimistic and are forecasting rises of up to six per cent.
The most optimistic forecast comes from CB Richard Ellis Residential Research, which expects London to continue to outperform the rest of Britain with inflation-busting rises of six per cent. Head of Research Jennet Siebrits said: "We are more optimistic than other commentators, largely because the economic fundamentals remain sound”.
"Significant and consecutive house price falls happen when home owners are forced to sell. With a benign economic backdrop we do not envisage that happening”.
Also optimistic is Lucian Cook, head of research at Savills: "We are forecasting that London will be the strongest performing region in 2008 but the rise will be only five per cent - much lower than what we saw in 2007. We expect the best located properties will continue to perform well".
