Devon based Chamberlains Estate Agents & Chartered Surveyors think the South West housing market has levelled off in line with many other places. They see this as good news; a sign that market overheating has been avoided and warn against over-reactive talk of doom and gloom. We print Ed Chamberlain’s letter in full…

Although it is clear that prices have levelled off in our area, there is certainly no lack of demand, and supply levels have improved to help satisfy that demand. More static prices will persist whilst a good supply of properties exists. I think it is what is known as a soft landing.

This has to be good news. After all, over the last year or so there has been much talk of the market overheating leading to a property market crash. It is important that the media realises that we have avoided a dramatic fall in property prices.

The stable market that now exists is good news for all involved. Although the media likes to hype the effects of a possible war with Iraq as having a negative effect on demand, history does not bare this out. It is often this time before decisive action is made that is potentially damaging. Once decisive action is taken, history has shown that this, in itself, can have a very direct positive effect on the economy.

So, we have stable prices with the prospect of greater confidence in the economy on the horizon. “Blood over estate agents carpets"?....I don't think so. The fact that the good Professor could not persuade his wife to get out and move into rented accommodation says it all. What drives the market is people's aspirations to better their situation and the strong and irreversible obsession of owning and improving one's home.

We will look back at this supposed ‘uncertain time’ and realise that it was just an over-nervousness due to the very recent deep recession of the early 90's. The world economy is due to turn the corner over the next year or two and Britain will be riding the wave of this recovery.

Ok, So we are British with pessimistic tendencies (!) but with a stable market and the lowest interest rates in most people's living memory why all the gloom and doom? Ignore the professor and the London based press, look at what is happening in the real world!