PCL flat deals dip as house transactions rise

House prices are all set to rise by 18% over the next five years, while rents are likely to increase by 19.

Prime central London property prices are still rising in most areas, driven by the sub-£2m market, but higher prices are doing very little dampen demand, according to Knight Frank's Q3 market report.

An "acute imbalance between burgeoning buyer demand and sluggish supply" will drive house prices up by 8% in 2014, according to the RICS, as new instructions to estate agents are "close to stagnating".