Savills Issues Revised Residential Market Forecast

This publication comes at a time when the dark clouds of the credit crisis have gathered over the UK housing market.

Savills have revised their forecasts, taking into account how long this current downturn is expected to last and how deep its impact on the property market will be. Now their central forecast is for a -8% fall in mainstream UK house prices in 2008, followed by another -2% in 2009, assuming that access to borrowing and lending criteria ease.

The mortgage drought has brought some parts of the market to a virtual standstill, with transaction numbers falling and likely to remain low.

The Savills Research team comment on the outlook for the UK.