I saw this story yesterday and have to say I take it with a pinch of salt.
The reports authors, Numis Securities, are a small investment bank with no particular track record of monitoring or predicting property price trends. What they do appear to have a good track record in is press releases designed to attract newspaper headlines. This is one such case.
I´m not saying that they don´t have a case. Rather that I´d be much more likely to believe any such argument if it came from a more reliable source.