NAEA hails house price increase

Posted 04/06/2009

Industry analysts have responded positively to the news that the housing market experienced some growth last month.

According to statistics from Halifax, average property values in the UK saw a month-on-month increase of 2.6 per cent during May.

The National Association of Estate Agents (NAEA) has hailed this as an indicator that the housing market is beginning to move again.

Indeed, the organisation said its members have reported increased sales and growth in the number of people wanting to look for property, including first-time buyers.

However, the NAEA warned that it would be “silly” to speak as if the housing market has recovered.

“The government must do everything in its power to ensure that this is not a bubble,” it commented.

Stamp duty was highlighted as one issue that needs to be addressed, as this remains “a barrier” for many first-time buyers.

Halifax was equally cautious about the implications of the house price increase, as it expects conditions in the housing market to remain “difficult” over the coming months.