The expansion of Stansted airport could create a boom in house prices in North Essex as it attracts more people to the area

This is the view of the chairman of the Essex Branch of the National Association of Estate Agents (NAEA), Terry Holmes, who sees increasing demand as a future problem

He said: "Although there are environmental issues, the main problem with Stansted is as Stansted airport expands it will bring more and more people to the area and these people need to have somewhere to live.

"Unless supply keeps up with that increased demand prices will only go one way."

For 2004, however, the NAEA are predicting a "controlled slowdown" with the national house market stabilising

Mr Holmes believes this will be reflected locally.

"The latest figures show a much more evenly balanced market in 2003 compared to the peaks and troughs of the previous year. If this stability continues in 2004, we could still see price increases but at a more modest and sustainable level.

"For some time now, there have been negative predictions in parts of the national media, but the simple fact is that the property market, especially in Essex, continues to remain buoyant and properties were still being sold right up until Christmas Eve."

Published Friday January 2, 2004

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