Latest house price predictions are that the pace of growth will ease over the next year.
But one study predicts a dramatic drop for London. Rightmove.co.uk said the London house price bubble will shortly burst, causing homes to lose a fifth of their present record-breaking value. The stock market crisis and the droves of people leaving the capital because they were unable to afford to get onto the property ladder were the reasons for the prediction.

Other observers, including the National Association of Estate Agents and market analyst Hometrack, were more circumspect but still said there was strong evidence that the housing market had entered “calmer waters”. They pointed to a drop in lending but said a crash was unlikely given the continuing shortage of properties.

Source

Housing Today