End of housing boom: Prices at market peak and now set to FALL, warn experts

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Peoples home values leapt by £5,477 on average last month along to reach a representative average £214,811, according to Halifax.

A race to secure sales in the presence of a three per cent stamp duty charge on propery investors took impression this month is thought to have pushed up prices at the beginning of this year.

But since the start of this month command has tapered off, according to experts.

Jeremy Leaf, a former RICS chairman and north London housing agent, said: “The peak of the housing market may have been reached, as far as amounts are concerned, or very close to it.

“Demand from landlords and second homeowners moan to complete before the April stamp duty hike has now fallen away so it thinks fitting be interesting to see what April’s house price index reveals.”

Martin Ellis, Halifax covering economist, added: “Worsening sentiment regarding the prospects for the UK conservatism and uncertainty ahead of the European referendum in June could result in some softening in the container market over the next couple of months.”

However, over the prolonged term prices are expected to remain high amid a shortage of provision and high demand.

Mr Ellis added: “Current market conditions, after all, remain very tight with an acute supply/demand imbalance remaining despite an improvement in the number of properties coming on to the market for sale in latest months.

“This, together with continuing low interest rates and a fit labour market, indicate that house price growth is set to be there robust.”

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