House prices up 60% in next five years - forecast

Is the property boom coming to an end? That is the question everyone is asking these days with commercial property returns gradually…

Is the property boom coming to an end? That is the question everyone is asking these days with commercial property returns gradually slowing down and an increasing number of houses failing to sell either at auction or by private treaty. But according to Finance magazine, house prices have a long way to go yet. Its panel of economists has forecast that prices will rise by 60 per cent over the next five years. That will be a good deal below the increases seen since 1995 but it is still good news for families planning to trade down, or for first-time owners with sizeable mortgages. Finance forecasts that prices this year will rise by 20 per cent.