Sunday, September 14, 2008
Express in non-ramping shocker
GORDON BROWN’S multi-billion pound rescue package for the mortgage market was in tatters last night as industry experts warned it would not stop Britain’s property price slump. A spokesman for the CML told the Sunday Express it was “highly unlikely” to reverse the current fall in house prices in the medium term. House prices are predicted to fall by 25 to 30 per cent before bottoming out, but ministers fear rock bottom could be even lower, leaving millions more families in negative equity. If “rock bottom” resulted in current house prices being slashed in half, Labour would be facing a political catastrophe no Government could hope to survive. But many industry experts want the Government to let the mortgage market correct itself.