Belfast Telegraph

Northern Ireland house price rise expected to slow down, claims KPMG

By Staff Reporter

Average house prices in Northern Ireland will grow by 3.6% this year to around £134,290, according to a forecast from KPMG.

However, despite the relatively strong performance in 2018, the KPMG UK Economic Outlook Report showed that house price growth here will slow each year until 2022.

And it warned that Brexit was far from the only factor which would affect the UK economy over the next few years.

The business advisory firm pegged annual growth in Northern Ireland house prices at 2.3% in 2019, 1.9% in 2020, 1.8% in 2021 and 1.3% in 2022.

The growth rate in 2023 is expected to increase to 1.5%.

Its research gives the average house price in Northern Ireland at £134,292 for this year, rising to £137,440 next year, and reaching £146,667 in 2023.

Areas such as London which experienced the sharpest increase in prices over the last few years were expected to see the most modest growth.

The report said the UK economy is set for modest growth if a positive Brexit deal can be reached, with GDP growth of 1.3% in 2018 and 1.4% in 2019 - the lowest in around 10 years.

But if there is a disorderly Brexit, KPMG predicts growth of 0.6% in 2019 and 0.4% in 2020.

Yael Selfin, chief economist at KPMG UK, said: "Brexit will have a lasting effect on the UK, but economically it isn't the only game in town.

"Issues such as improving productivity, reducing regional economic disparity, and ensuring that UK workers have the skills to meet employers' needs should also be at the forefront of the Chancellor's mind."

Belfast Telegraph

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