Location 'will become crucial in 2011'

The old adage of "location, location, location" will prove all important in 2011, according to the National Association of Estate Agents NAEA.

People looking for the best mortgage rates in 2011 will be interested to hear that the importance of where a property is will drastically affect its price.

The NAEA believes that the recovery from recession will occur at a different pace in separate parts of the country, which could lead to house prices increasing in certain areas.

Michael Jones, president of the NAEA, said: "There is still clear evidence of demand for property in the UK housing market.

"In fact, given the restrictions on mortgage lending and the approach of Christmas, the true level of demand is probably higher than indicated by our figures."

Many experts believe that the recent decision by the Bank of England's Monetary Policy Committee to keep the base rate at its current historically low level of 0.5 per cent could improve the mortgage market.

The association's monthly housing market report found that the average estate agent branch had 241 house hunters registered in November compared to just 218 in October.
 

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2010-12-14 13:38:41 © Moneyextra.com