Thursday, December 14, 2006
Rate increase could be ‘rise too far’
THE latest interest rate increase could be a rise too far for a significant number of areas in the UK where the housing market is under-performing, the National Association of Estate Agents have warned. As had been widely expected, the Bank of England decided to raise rates from 4.75 per cent to five per cent, following a similar increase in August. Peter Bolton King, the chief executive of the NAEA, said: “The national picture for the residential property market appears to be extremely strong and buoyant but there are vast regional differences with some areas significantly out -performing others.