Investment Property News - Bueno Investments Limited

Landlords may wish to hold on to their properties in the short-term as a new
study claims the Government is unlikely to reach its target for new homes.

The Royal Institution of Chartered Surveyors said growth in the construction
industry fell back in the fourth quarter as builders were affected by the
credit crunch and a cooling in demand.

David Stubbs, senior economist at Rics, said: "A slowing housing and
commercial property market, following the credit crunch and the Northern
Rock turmoil have started to hit the construction sector.

"Current financial instability is rocking market sentiment and may see the
industry enter a period of uncertainty.

"Doubts are likely to intensify over the ability of the Government to meet
its ambitious house building targets. Indeed, it is worth noting that new
housing starts have already begun to stagnate in recent quarters."

But a Communities and Local Government spokesman said: "House builders'
decisions will always be based on a range of issues, including short-term
market factors.

"However, given the strong independent evidence, for example from Kate
Barker's review and the National Housing and Planning Unit, of the long-term
demand and the need for more homes, it is important that house builders keep
in mind the long term, as well as the short term, when setting out plans for
the future."

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http://www.buenoinvestments.com/uk_property_investment.php (UK property)

http://www.rics.org/ (Royal Institution of Chartered Surveyors)