23
Dec
Recovery to start in 2009, states expert
A property expert has advised that 2009 will see the bottoming of
the market, although strong growth will have to wait until 2010 and
beyond.
In an interview with the Daily Telegraph's TV channel, chief
executive of property investment firm Assetz Stuart Law predicted
that recent action taken by the government should ensure the
recession is "relatively short".
On the basis of this analysis, he remarked that the market will
bottom out in the summer of 2009 and over the course of the year
there will be increases in transactions, partly due to rising
lending as other banks follow HSBC's lead and offer more
mortgages.
There will also be lower mortgage costs as the base rate falls to
one per cent and possibly lower, he added.
Mr Law's comments are in line with those of others who have said
there will be a recovery in due course.
In his interview with the Financial Times last week, Bank of
England deputy governor Charles Bean remarked that the one
certainty about any recession is that it will come to an end
eventually.
