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House prices ‘will be driven down by desperate sellers’
Friday, January 30th, 2009"Desperate" sellers will drive down property prices and make buying a home more affordable for UK borrowers over the coming months, it has been claimed.
Paul Holmes, the chief executive of Firstrung, predicted that the low activity currently being seen in the housing market will boost affordability.
First-time buyers will be able to get onto the ladder for a "reasonable" price, with a mortgage they can handle, he stated.
"I see the future as being very bright for the property market, but not in the fashion that it has been allowed to run amok over the past five or six years," Mr Holmes remarked.
He added that people will be more able to pay off their debts within 25 years and own their houses outright.
Recently, Nationwide reported that UK house prices had fallen by 15.9 per cent in 2008 to their lowest level since spring 2005.
