Investment Property News - Bueno Investments Limited

House prices fell by 3.2% over the past month, and the Government's decision
to extend Home Information Packs contributed to the decline, it has been
claimed.

Rightmove said the market was hit by the "HIP effect" as sellers of one and
two-bedroom properties reduced prices in a rush to sell before last Friday's
deadline.

As a result, the group's December index shows that average asking prices
fell by £7,590 to £232,396, with the extension of HIP rules adding an extra
1.1% to the fall.

The group said the legislation brought "further confusion at a sensitive
time for the property market".

Its data reveals that this time last year, 38% of properties coming on to
market across the UK had two or fewer bedrooms, but the figure soared to 48% in the week beginning December 2.

Miles Shipside, commercial director of Rightmove, said: "A substantial
element of the fall reflects genuinely tough market conditions and many
sellers who have listed this month have priced below the market to try and
sell."

Mr Shipside said the market is entering "unchartered territory" as 2008
approaches, with the credit crunch showing no signs of abating. But he added
it is likely to see a period of stagnation next year, rather than a crash.

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