Halifax figures show property values stalled in January

Director of Benham and Reeves, Marc von Grundherr, commented:

“Given the strong economic headwinds that battered the UK following last September’s mini budget, it’s quite remarkable that the property market has remained largely impervious to any notable decline in house prices.

With that storm now weathered and confidence returning to the market, the previous monthly house prices declines seen at the back end of last year have already amounted to little more than a seasonal cough and cold.”

CEO of Alliance Fund, Iain Crawford, commented:

“The property market is yet to buckle under the pressure of wider economic uncertainty and while we’ve seen house prices start to cool in recent months, it’s important that we proceed with pragmatism.

Yes, the increasing cost of borrowing has resulted in buyers entering the fray with less gusto and the price achieved by sellers has reduced as a result. But what we’re certainly not seeing is a mass exodus of buyer activity and an impending market collapse.”

Co-founder and CEO of GetAgent.co.uk, Colby Short commented:

“We can’t ignore the fact that the cost of borrowing has climbed, putting further strain on the nation’s homebuyers and their ability to climb the ladder.

This has naturally resulted in a reduction in the rate of house price growth but we’re also seeing a head in the sand approach from many sellers, who are entering the market with over optimistic expectations based on a price that they may have achieved six months ago.

In doing so, they are slowing the market to a far greater extent than the marginal reduction in buyer activity, as their overpriced properties stagnate with little to no interest.

The market remains robust and there is still a fair price to be had, but it is vital sellers wake up to the fact that they may need to drop a few thousand pounds in order to secure a sale.”

Managing Director of Barrows and Forrester, James Forrester, commented:

“All things considered, the property market has fared far better than many were quick to forecast and we’ve already seen the rot reverse with respect to the previous monthly reductions in property values.

This is despite the government’s best efforts to drive the wider economy into the ground whilst hiking the cost of borrowing for hard pressed homebuyers, buyers who have already had to contend with record rates of house price growth and a lack of housing delivery.

Now that the dust has settled, don’t be surprised to see the property market stabilise following this period of adjustment and positive house price growth to return over the coming months.”

Jason Ferrando, CEO of easyMoney says

“Despite last week’s further hike to interest rates, we’re simply not seeing the same level of market volatility that came during the latter stages of last year, particularly within the lending space.

So while buyers may be treading with a greater degree of caution, the vast majority are continuing to stride forward with intent. This consistent level of activity will ensure that the market remains in good health, albeit having seen marginal correction to property values.”