2022 proved to be a tough year for the UK’s property market with home values rising at a record speed, however real estate experts expect a price fall next year.
According to most industry opinions, 2023 will witness an average price fall of 6%. Some real estate forecasts go as far as to predict of a 20% to 30% fall in U.K. house prices because of continued high inflation, the current economic crisis and an impending recession.
Greater London as one of the most high-value property market is expected to lose approximately 4% in house pricing. The numbers for Wales the North East of England and Yorkshire are set to be around 8%.
Simultaneously, real estate agencies also predict by a national shortage of home supply. Estimated shortfall of 610,000 homes on the real estate market across the UK is likely to take place over the next five years.
Nevertheless, experts expect that there will be far less distress in the market in a few months opposite to the 2022 summer-autumn situation. They express hope that there will not be a sharp rise in unemployment, which can severely escalate the real estate market downfall.
