Do you think property prices will double in 10 years?

movieman

Not all jobs can be outsourced you know as language proficiency is rated very highly in this country.

Possibly not, though I'm hard-pressed to think of a job that can't be outsourced.

However, it does seem to be true that most people believe their job will always be secure against foreign competition, just as most people believe that house prices in their area will never drop, even if there's a crash in the rest of the country. Most of those people are likely to be wrong.

Finally, it really doesn't matter if you still have a well-paid job if 50% of the British people don't: house prices would still crash in that situation as few people could afford to buy.

Chichi_2

I did ask the initial question and yes I've pretty much made up my mind but it's great for me and others to know what others think. It's a bit like a free consultation. Thanks to everyone for your input. I'm off to an IFA with my mum now!!!!!

EdInvestor

Bear in mind most of the large Pension Funds invest heavily in property.

That's commercial property - office blocks,shopping malls, industrial parks, not residential property.Different asset class, has done extremeley well in the last fibe or six years +20% a year or more,might be a bit toppish now.

But a very stable long term investment in the past, generating a yield of around 4-5% these days because values have gone up so much. Now becoming very popular with people who are fed up with underperforming pensions in other assets.

PropertyGuru

the falls in property in the UK will start proper towards the end of Q1 2007.

You heard it here first.

RHemmings

I'm too late to join this thread. But that never stopped me before. Whether people are predicting house price rises or falls, I can't see the point of just making a prediction without supplying some argument to back it up.

I predict that there will be a correction. Too much of the demand we have for housing is speculative investor demand. This will disappear when people finally realise that property is a bad investment and can go up no further. No further from then, not necessarily now.

meanmachine_2

Chichi wrote:

I did ask the initial question and yes I've pretty much made up my mind but it's great for me and others to know what others think. It's a bit like a free consultation. Thanks to everyone for your input. I'm off to an IFA with my mum now!!!!!

That was a waste of everyone's time then.

See you in ten years.

zag2me

10 years is a long time, doubt they will double but thats long enough for a crash and a recovery. So my bet is on a 50% increase by then.

DampProof

I only speak from personal experience so in my world this is fact.

House purchased in 1980 priced £25500 value today £240000.
House purchased in 2000 priced £70500 value today £175000

Some maths expert will tell me that if I take into consideration inflation I'm in the red.

In 26 years we have had two adjustments of between 20 - 25% and prices soon recovered.

Do I think we are ready for another adjustment?... Probably, but when I have no idea. Do I care? No.

Is property a good investment? Is The Pope A Catholic? :j

whambamboo

DampProof wrote:

I only speak from personal experience so in my world this is fact.

House purchased in 1980 priced £25500 value today £240000.
House purchased in 2000 priced £70500 value today £175000

Some maths expert will tell me that if I take into consideration inflation I'm in the red.

In 26 years we have had two adjustments of between 20 - 25% and prices soon recovered.

Do I think we are ready for another adjustment?... Probably, but when I have no idea. Do I care? No.

Is property a good investment? Is The Pope A Catholic? :j

Er, I think you have confused "Was property a good investment 5/15/25 years ago?", with "Is property a good investment right now?".

The answer to that is "no". You really should care about adjustments, because it's your chance to buy something nice for less money.

F_T_Buyer

Chichi wrote:

Hi FT Buyer,

I didn't say anything about pension funds. it's someone else's quote.

Worse case scenario: Interest rates double, rents remain the same might have to dig into pockets to pay the mortgage.

It's a risk.

Opps, sorry. Was refering to Tennis Star.