Why house prices could soon cool off

Things aren’t going well in the housing market. After a few years in which it looked as if prices might soon fall to, and then stabilise at a reasonable level, they are once again on the up.

The International Monetary Fund has already warned the Bank of England to “remain vigilant” in the face of a new boom, says the Financial Times.

House prices are already “disproportionately high compared with levels of rent” and with the Royal Institution of Chartered Surveyors warning of a “chronic imbalance” between supply and demand, that’s a trend many assume will continue indefinitely [...]

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