The growth in property prices in the UK led to the fact that the market was to do more objects

The sharp rise in the value of residential property in the UK seems to have led to the increase in the number of real estate coming onto the market that may have an impact on prices, preventing their further growth.

Indeed, property prices in the UK reached an annual growth of 7.9%, reaching average values of £191375 pounds, but in London residential property prices increased at an annual rate of 23.6%, reaching prices of £474359 pounds.

National profile of the UK property market became more active, 21.3% increase in the number of transactions in the market.

As a result of growth in property prices, the average increase in the value of residential property in the UK in 2013 amounted to more than £14000 and it is expected that many owners will put their home on the market this spring, in an effort to increase and improve their living conditions.

New properties on the market, will help to solve the problem of housing shortage and will be able to somewhat suppress the rapid growth of housing prices. In London the average annual price growth for residential property is now more than £90000 in absolute terms. It would seem that it is to confuse buyers, especially those who first take possession of residential property. However, buyers came to the aid of banks, providing credit to customers the most favorable terms, as well as programmes of the government “help to buy”, allowing the borrower to take a loan, provided the initial payment is only 5% of the purchase price.

According to the authoritative representatives of the real estate market of UK, the imbalance between supply and demand in the property market in the UK could be addressed, introducing a more flexible scale of Stamp duty, thus fixing and dividing up real estate in different price ranges of real estate.

However, the UK government, leaving the United Kingdom the status of a state with a great tax, investment climate and attractive country for the world’s business elites, is extremely negative attitude to all sorts of proposals aimed at worsening the tax burden for all participants in the real estate market.

® Helen Antre 20.03.2014