28 March 2008
Second mortgage loans will become harder to justify now that economic forecaster BIS Shrapnel has predicted that house prices could rise by up to 40 per cent within the next five years.
According to BIS Shrapnel, not enough houses are being built to meet the demand for housing. Demand exceeds supply by 30,000 homes, but BIS Shrapnel's director has estimated that this number could double by midway through this year.
Those already in the housing market may wish to reconsider taking out second mortgage loans to ensure their position in the market remains feasible.
