England and Wales see house prices fall

Experts have stated that house prices have been falling at their fastest pace since records began across England and Wales. According to officials from the Royal Institute of Chartered Surveyors house prices have plummeted at the fastest pace since 1978, when records first began.

Every region of England and Wales is being affected by the problem, partly fuelled by the credit crunch.

Homeowners have also reported that they have experienced difficulties in selling their homes, as the credit crunch takes its toll on affordability and accessibility to funds for potential buyers.

Many sellers are finding that when they do get offers they are way below the asking price, which is resulting in more properties staying on the market for longer. It is thought that the level of properties remaining on estate agent books is at its highest in ten years.

One industry expert said that the build up of houses remaining on the market gave potential buyers the leverage to put forward lower offers, stating: ‘The build-up of unsold properties will encourage buyers to negotiate lower asking prices.’

An estate agent stated: ‘Sellers are having extreme difficulty finding buyers. The market is just not performing as it should be as we approach the prime selling months.’