The peak to trough fall of house prices could hit 22% next year, according to housing and mortgage researcher Hometrack.
The firm says prices could fall an extra 10% next year with a further 3% decline to follow in 2010. Additionally Hometrack says the projected decline in 2009 will put affordability on a par with the lows seen in the early 1990s. The volume of open market transactions across Great Britain is also set to fall, it says, by a further 12% to 685,000, following a 45% decline in sales volumes over 2008. Net mortgage lending growth is forecast to reach £15bn in 2009, down from £39bn in 2008 and a peak of £107bn in 2007, while repossessions are expected to reach 70,000, up from 45,000 in 2008 ...
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