Market slowdown 'should not put off buyers'

The slowdown in the housing market that is now materialising should not put off prospective buyers because they ought to view a home simply as a place to live rather than an investment.

That is according to Key Financial Consultants, who advised that mortgage affordability was a greater concern than the fluctuations in house prices being seen across the UK.

The comments come as Your Move has reported that prices rose by 1.2 per cent this month and Hometrack suggests that there was in fact a 0.1 per cent fall in the average price of a home.

"It depends on who the purchaser is, first and foremost – if you're buying a home then you should not see it as an investment," said Dominic Mansley, managing director of Key Financial Consultants.

"So if it's a case of buying a home to get out of rented accommodation, then yes it is still an asset worth having because you're going to hold it for a long time.

"It doesn't really matter what happens in the market, as long as the mortgage is affordable. It doesn't really matter whether the value goes up or down – because it isn't an investment, it's a home," Mr Mansley added.

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