Property prices in the UK are expected to increase next year with data from BNP Paribas suggesting a growth of around 6.7 percent.
The news has spurred UK property investors to act now before prices rise in the country, particularly as there has been negative growth in 2008 and 2011. This year has seen growth rise by 2.1 percent according to the report and the UK real estate sector is at last about to see the light at the end of the tunnel.
The organisation also agreed with various other reports that rents are expected to continue rising in core city centre areas as the supply shortages will ensure demand stays high. The country’s economic outlook and improvements in the employment market are expected to support these predictions even further.
BNP Paribas also stated that the divide between the north and south property values will broaden over the next five years. There will be significant differences according to the company and the north-west has a forecast growth of between four and five percent. London is still the UK’s main driver with growth prospects of eight percent.
The news has followed recent figures from Halifax that revealed a £110,000 increase in the value of property in the best-performing regions in the UK over the last decade.
BNP Paribas revealed that there has been an increase in property investors in the market as rental returns are high and now that house prices are expected to rise in 2013, now is the time to be buying a property in the UK.