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House prices: on the edge
The property market has ground to a halt in some areas and many sellers are having to slash prices by 20 per cent to drum up interest in their homes, a survey of estate agents conducted by The Sunday Telegraph reveals. Teresa Hunter reports
Are house prices heading for a fall?
Runaway house prices, five mortgage rate rises in a matter of months, the introduction of home information packs and a crisis of confidence triggered by Northern Rock are forcing property sellers to slash prices by up to 20 per cent – just to get a sniff of interest from prospective buyers.
Last week two of Britain's biggest lenders, Halifax and Nationwide, admitted that the market was slowing, but they still painted a reasonably rosy picture, saying that values were 10 per cent higher than a year ago. But their conclusions are at stark odds with findings by The Telegraph, which contacted estate agents the length and breadth of Britain. Agents in Leeds, Birmingham and Nottingham report a market that has ground to a halt – where property is proving almost impossible to shift, even with substantial price cuts.
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