Martin Ellis Therefore Quotations

The weakening labor market, the continuing high level of house prices in relation to earnings and pressure on householders' finances from the recent hikes in utility and council tax bills are expected to curb demand in the coming months, therefore preventing a sustained acceleration in house price inflation.

The easing in economic growth over the past year, together with a ratio of house price to average earnings that remains historically high, is expected to curb housing demand, and therefore prevent a renewed surge in house prices.

We expect this trend to continue during 2006 as house prices rise at a slower pace than earnings, therefore making it a little easier for first-time buyers to enter the market.