Insurance News Archive

Property market 'has a long way to go' before it improves

There will still be a lot of time before the property sector recovers despite the recent intervention by the government, it has been said.

Paragon Mortgages, a provider of specialist finance for property investors, has said while the market has improved, it still "has a long way to go".

Calling to point support observed from the US government to the case of the collapse of the global investment bank Lehman Brothers, John Heron, managing director at the firm, said "we've seen little or no action from the UK government" over the past few months.

Now with the £1 billion housing package laid out by the UK government recently, the company boss said: "We are starting see that now because they've been forced to recognise the criticality of the situation."

According to August 2008's Halifax house price index, prices were down 10.9 per cent from the previous year, which is the same price they were at in February 2006.

26 Sep 2008