How Is The Credit Crunch Affecting The Property Market?

How Is The Credit Crunch Affecting The Property Market?

Author: Joanna Bedford

There are talks and hints that the worst of the credit crunch might just be behind us. These speculations probably need to be shelved for a little while longer however. In fact, it looks like there could be a very bleak few months ahead, with the worst of the economic crisis reaching a peak in 2010. Oh dear. But what does this mean for a removals companies, home owners and renters? Well, this situation is a mixed blessing for some companies. On the one hand there are people moving to smaller houses in an effort to cut costs, but for everyone who is downsizing, there´s a family or couple that are resolutely staying put, putting their plans for a bigger house on hold for the time being. The other factor, is the ever decreasing house prices, which mean that people are even less likely to leave as they won´t be getting their money´s worth for their homes.

In recent weeks, house prices have actually increased, causing some people to be optimistic about the state of the housing market. However- and this is with a very accentuated H- it is only in some boroughs that there have been a significant increase, in others they continue to fall consistently. Also it is very unlikely that a rise in house prices will signal a gradual and steady rise across the board. Historically house prices have not moved in the same direction month after month. It is more likely that we shall see peaks and dips in the foreseeable future. All this means that more and more people are being forced to stay where they are which means less removals jobs van drivers. There are, however many other jobs that require such services, including people who are renovating their homes or re-decorating and require packing services or wish to place their items in storage. We´re all surviving, just!

Joanna works for a handful of exciting and innovative web-based companies including London´s leading light removals service, man and vans.