Iwona Hovenko, Real Estate analyst at Bloomberg Intelligence, comments on the UK's housing market ahead of tomorrow's Autumn Statement by the Chancellor of the Exchequer.
Potential UK housing stimulus in tomorrow's Autumn Statement could breathe some life into the residential-property market, though a lot will depend on any measures chosen and their generosity.
We see some scope for incentives targeted at first-time buyers, albeit a wider stamp duty holiday would provide a further-reaching boost.
An extension to current mortgage guarantees for buyers in need of high loan-to-value lending (91-95% LTV) might do little to lift the poor housing sentiment.
Though the timing of any possible incentives remains highly uncertain, the fast-approaching UK general election, combined with weak consumer confidence and subdued housing activity, may be among the key motives for the government to bring any measures forward
