House prices will not plummet, says economist
An economist has forecast that Britain's housing market is not about to crash and plunge millions into negative equity.
Speaking at the Chartered Institute of Housing (CIH) Cymru conference in Cardiff, Sunday Times economic editor David Smith said the industry should not "over-do the gloom" when reflecting on the market, the institute reports.
Noting that house prices had risen threefold in the last decade, he added: "House prices would have to fall quite a lot before we saw the return of negative equity."
Such sentiments may be welcomed by existing homeowners, but those hoping for prices to drop significantly to increase affordability may be disappointed.
An alternative to hoping for cheaper house prices is to save money by using the self build method.
The most recent Land Registry house price survey of England and Wales, published this week, showed no overall change in values.
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