Jul 20, 2015

Is the housing bubble getting ready to pop?

Earlier last week we asked our readers whether or not they think that the housing bubble is getting ready to pop. To little surprise, 69% of them think that it is.

At the moment, the housing market is still bubbling with a  5.7% average price rise in the year up to May and asking prices surging 3% in just one month after the uncertainty around the election had ended.

There is definitely no shortage in demand, which is great news for Estate Agents, the problem, however, lies with an imbalance between supply and demand in more and more areas of the country.

Whilst the market may have a while to go before the bubble bursts, it is inevitable that without the supply of houses it is going to happen. The lack of new properties coming on to the market, as addressed in Agents without houses, is not the only concern. The lack of existing properties coming on to the market adds even more pressure on to Estate Agents in an industry where competition is already so fierce.


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