House prices to rise 2014 in the UK

House prices to rise 2014 in the UKAccording to a new report, the housing prices are expected to rise in the coming year in the UK as the housing market rises across the country.

Analysts at Hometrack said that homeowners across 75 per cent of England and Wales said that the price of their properties increased in the previous year. Analysts have said that attractive mortgage rates and better economic forecasts have helped push up prospects for higher prices in the country.

The new report by the Royal Institution of Chartered Surveyors (RICS) predicted that the price of homes will increase in the country as the supply of homes will not be enough to meet the rising demand in the UK. The report also said that the rents are expected to rise by around 2 per cent during the next one year due to lesser number of homes available in the market.

The shortfall between demand and supply is expected to fall slightly in the coming year with new-build projects due to rise 11 per cent in the UK. The RICS said that the rise in project is an encouraging sing but will not be enough to meet projections of rapid population growth.