House prices ‘set to rise’, experts predict

Estate agents are bracing themselves for a busy year as strong housing demand means prices could increase by as much as five per cent.

Anthony Smith, of OptimHome, who works in the Thornton and Cleveleys areas, said: “I believe that reforms of pensions and stamp duty will bring a bounty of new buyers to the market, creating a bumper year.”

He said changes to stamp duty, unveiled by the Chancellor in his autumn statement, would make it “cheaper and easier” to buy a home. Now, buyers now only pay higher rates of stamp duty on the portion of the house price that is above the threshold, rather than a percentage of the whole sum.

Gareth Welsh, branch manager of Hunters estate agents in Blackpool, agreed demand is strong but was more cautious with his predictions for price rises.

He said: “There has been a significant improvement in the market. Demand is high and if you price your house correctly it will sell within a reasonable amount of time.

“But I don’t think we are fully recovered yet from what’s happened over the last five or six years. I would expect prices to rise this year but not by some of the figures being thrown around – I would say between one and five per cent, maximum.”

Kevin Allitt (pictured), of Oyston’s, said: “I think there’s going to be a general upwards trend. It’s an ideal time to buy or sell.”

The Royal Institute of Chartered Surveyors has predicted prices to rise by five per cent this year in the North West.

According to data from the Land Registry, as of December, Blackpool had an overall average price of £107,702. 
Overall sold prices in Blackpool over the last year were four per cent up on the previous year and 13 per cent down on the 2007 level of £124,462.