Government urged to act on house prices

The government has been called upon to intervene in order to stop house prices from increasing to unpractical levels.

PricedOut.org.uk has suggested that home values will become more reasonable over the next few months.

However, the affordable property campaign website indicated that action must be taken to "prevent a future boom in house prices".

In order to do this, PricedOut.org.uk suggested increasing taxation on buy-to-let property owners, amongst other measures.

Katy John from the organisation said: "The government needs to go further - not by funding more shared ownership schemes, but by increasing taxation of multiple property ownership and buy-to-let.

She added: "We expect to see further falls in house prices or at the very least, an adjustment over the coming months to more affordable homes."

Property values in June were 10.7 per cent lower than 12 months ago, according to new research from the Department of Communities and Local Government.

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