Nationwide researchers are not calling what impact the terroristattacks on the USA will have on the UK residential property market.Nationwide's group economist Alex Bannister expects some impact butpredicts it will be mitigated by falling interest rates. He lefthis forecast for house price growth for 2001 unchanged at 11%.

Residential property broker Chesterton expects prices tomoderate as the market slows. 'Some Chesterton offices havereported purchasers exercising more caution' said Peter Chapman,Managing Director of Chesterton Residential, 'but the limited stockavailable is expected to prevent a weakening of prices,particularly in central areas.

'Following the US attacks Chesterton agents have noticed thatthe number of new applicants looking for property has fallensignificantly. However, most of these have been 'lookers' ratherthan serious buyers so hopefully this won't impact toosignificantly.'