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Is the long-term growth trend in UK property still in place?

Despite the fact that UK property market has been a volatile over the last three years, and indeed according to many is on the verge of a further downward spiral, the truth is that in the longer term the UK property market is likely to remain buoyant and in demand. When you take into account the ever-growing population of the UK and the reluctance of many local authorities to build further council houses it seems almost inevitable that demand for existing houses and new properties will grow.

The problem for the UK authorities is that the UK's is a relatively small island and due to significant underinvestment on new properties in the past there is still a long-term imbalance between supply and demand. Even those who argue that UK property is too expensive for first-time buyers have to admit that the more people who rent in the UK the more demand properties. So while the short-term situation may not look too attractive for the UK property market there is no reason to believe that the longer-term upward trend, which has been in place for decades, will be broken in the short to medium term.

However, that is not to say that now is the time to buy UK property with indicators suggesting a difficult time ahead in the short term.

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