Repossessions in South Wales are creating a two-tiered market.
This is according to a report by real estate provider BNP Paribas, which found prices in Cardiff and the golden triangle of Monmouth, Usk and Abergavenny will see impressive hikes.
Overall, by 2016 there will be a six per cent rise in the cost of a dwelling, the Western Mail reports.
Because of the number of repossessions taking place outside the main areas of growth, there are no prospects for an immediate recovery.
Mike Rees, development director at BNP Paribas, told the paper: "In Cardiff, the imbalance of apartment-led development will ease but land supply is likely to be a constraining factor."
Planning and policy adviser for Wales for the Home Builders' Federation Richard Price said a shortage of land for residential developments will have an impact on the revival of the market.
The Hartlepool Mail recently revealed that house prices in Hartlepool are continuing to drop because of repossessions.
The slump in the cost of property in the town has been greater than in any other part of the UK.
South Wales repossessions create two-tiered market
Fri, 09 Dec 2011
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