{"id":293,"date":"2015-06-27T11:52:12","date_gmt":"2015-06-27T11:52:12","guid":{"rendered":"https:\/\/www.thehouseshop.com\/property-blog\/does-the-housing-market-need-to-cool-off\/"},"modified":"2018-02-21T10:18:28","modified_gmt":"2018-02-21T10:18:28","slug":"does-the-housing-market-need-to-cool-off","status":"publish","type":"post","link":"https:\/\/www.thehouseshop.com\/property-blog\/does-the-housing-market-need-to-cool-off\/","title":{"rendered":"Does the Housing Market Need to Cool Off?"},"content":{"rendered":"\n<!-- SEO Ultimate Plus (https:\/\/seoultimateplus.com) - Code Inserter module -->\n<script async>(function(s,u,m,o,j,v){j=u.createElement(m);v=u.getElementsByTagName(m)[0];j.async=1;j.src=o;j.dataset.sumoSiteId='b68b392479b5981b8acf46565e9fe32a0734fc21a1f7c1e60121eaa6ca1a1c64';v.parentNode.insertBefore(j,v)})(window,document,'script','\/\/load.sumo.com\/');<\/script>\n<!-- \/SEO Ultimate Plus -->\n\n<p class=\"p1\"><span style=\"font-size: small;\">UK House prices have risen roughly 10% in the past year claims the Office for National Statistics, with an even greater rise of almost 19% in the capital. On top of this, <a class=\"wl-entity-page-link\" title=\"houses\" href=\"https:\/\/www.thehouseshop.com\/property-blog\/house\/\" data-id=\"http:\/\/data.wordlift.io\/wl0502\/entity\/house;http:\/\/rdf.freebase.com\/ns\/m.03jm5;http:\/\/dbpedia.org\/resource\/House\" >house<\/a> price inflation in the month of April hit 2% &#8211; the highest single month inflation for over 4 years.\u00a0<\/span><\/p>\n<p class=\"p2\"><span style=\"font-size: small;\">\u00a0<\/span><\/p>\n<p class=\"p1\"><span style=\"font-size: small;\">With concerns over unsustainable <a class=\"wl-entity-page-link\"  href=\"https:\/\/www.thehouseshop.com\/property-blog\/property\/\" data-id=\"http:\/\/data.wordlift.io\/wl0502\/entity\/property;http:\/\/rdf.freebase.com\/ns\/m.05wrt;http:\/\/dbpedia.org\/resource\/Property\" >property<\/a> prices leading to another cycle of boom and bust, the <a href=\"http:\/\/www.bankofengland.co.uk\/financialstability\/pages\/fpc\/default.aspx\">Bank of England FPC (Financial Policy Committee)<\/a> met this week to discuss the greatest risks facing the UK financial system. It was widely believed that house prices would be top of the list.\u00a0<\/span><\/p>\n<p class=\"p2\"><span style=\"font-size: small;\">\u00a0<\/span><\/p>\n<p class=\"p1\"><span style=\"font-size: small;\">Have we reached the stage where policy makers need to step in to control the <a class=\"wl-entity-page-link\" title=\"Market (economics)\" href=\"https:\/\/www.thehouseshop.com\/property-blog\/market-economics\/\" data-id=\"http:\/\/data.wordlift.io\/wl0502\/entity\/market_economics;http:\/\/dbpedia.org\/resource\/Market_(economics)\" >market<\/a>? We will have to wait till the 26<sup>th<\/sup> June when the FPC will release their decisions in the Financial Stability Report to find out. But with new regulatory powers handed to the FPC by George Osbourne recently to attempt to rein in the market, it is likely that some form of intervention will be recommended.<\/span><\/p>\n<p class=\"p2\"><span style=\"font-size: small;\">\u00a0<\/span><\/p>\n<p class=\"p1\"><span style=\"font-size: small;\">Economic commentators predict that the most likely course of action will be a cap on <a class=\"wl-entity-page-link\" title=\"Mortgage loan\" href=\"https:\/\/www.thehouseshop.com\/property-blog\/mortgage-loan\/\" data-id=\"http:\/\/data.wordlift.io\/wl0502\/entity\/mortgage_loan;http:\/\/rdf.freebase.com\/ns\/m.0273t5w;http:\/\/dbpedia.org\/resource\/Mortgage_loan\" >mortgages<\/a> compared to the borrowers income. However this would not stop the influx of cash buyers and foreign investors from further driving up house prices.\u00a0<\/span><\/p>\n<p class=\"p2\"><span style=\"font-size: small;\">\u00a0<\/span><\/p>\n<p class=\"p1\"><span style=\"font-size: small;\">On the other hand some argue that no external intervention will be needed as the market is beginning to make a natural correction and has already started to cool off. However the argument that markets will always correct themselves if left to their own devices has not served us well in the past and it seems na\u00efve to entrust the future of our economic system to an intangible market that has led us astray one too many times already.<\/span><\/p>\n<p class=\"p1\"><span style=\"font-size: small;\"><a href=\"https:\/\/www.thehouseshop.com\/advertise-property-free\">Find out more about saving money when buying or selling your home here<\/a><\/span><\/p>\n<p class=\"p1\">\n","protected":false},"excerpt":{"rendered":"<p>UK House prices have risen roughly 10% in the past year claims the Office for National Statistics, with an even greater rise of almost 19% in the capital. On top of this, house price inflation in the month of April<span class=\"ellipsis\">&hellip;<\/span><\/p>\n<div class=\"read-more\"><a href=\"https:\/\/www.thehouseshop.com\/property-blog\/does-the-housing-market-need-to-cool-off\/\">Read more &#8250;<\/a><\/div>\n<p><!-- end of .read-more --><\/p>\n","protected":false},"author":41,"featured_media":294,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"wl_entities_gutenberg":"","_lmt_disableupdate":"","_lmt_disable":"","spay_email":""},"categories":[17],"tags":[],"wl_entity_type":[602],"modified_by":null,"_wl_alt_label":[],"jetpack_featured_media_url":"https:\/\/www.thehouseshop.com\/property-blog\/wp-content\/uploads\/2015\/02\/does_housing_market_need_to_cool_off.jpg","wl:entity_url":"http:\/\/data.wordlift.io\/wl0502\/post\/does_the_housing_market_need_to_cool_off_","_links":{"self":[{"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/posts\/293"}],"collection":[{"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/users\/41"}],"replies":[{"embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/comments?post=293"}],"version-history":[{"count":4,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/posts\/293\/revisions"}],"predecessor-version":[{"id":15392,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/posts\/293\/revisions\/15392"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/media\/294"}],"wp:attachment":[{"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/media?parent=293"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/categories?post=293"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/tags?post=293"},{"taxonomy":"wl_entity_type","embeddable":true,"href":"https:\/\/www.thehouseshop.com\/property-blog\/wp-json\/wp\/v2\/wl_entity_type?post=293"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}