House prices outdo experts’ forecasts to rise 11.5% in 2004

HOUSE price increases beat economists’ predictions last year, growing on average by 11.5%.

Economists this time last year forecast prices to increase on average by 10%. However, their prediction that prices would grow at a slower rate was accurate, with price rises considerably lower than the past two previous years.

The same economists are again forecasting slower growth this year as house-buying hunger begins to abate and supply continues to rise at record levels.