So no higher than 2004 then!

pbouk

I think we all knew that with London taken out of the equation, the average value of a UK home would be considerably lower. Glad I don't live in London.

http://www.thisismoney.co.uk/money/mortgageshome/article-2818946/House-prices-level-decade-ago-London-property-market-removed.html

michaels

I don't live in London - however if I could buy a house at 2004 prices locally I would jump at it - a nice 30% discount

MrRee_2

It's beyond 2007 levels around here!!

It may be at 2004 levels in the North .... not down here!

Morgage_Confused

Surrey here....purchased 2005 for 230k....current value 400k. Im not chuffed though. I cant move up the ladder here as I cant afford to and Im earning much more now aswell. Too expensive in the SE.

PasturesNew

Every house, road, village, town's different.

lukeh23

Morgage_Confused wrote: »

Surrey here....purchased 2005 for 230k....current value 400k. Im not chuffed though. I cant move up the ladder here as I cant afford to and Im earning much more now aswell. Too expensive in the SE.

I would likely want to buy your house too, but no way could I stretch to 400k.

High house prices only really give advantage to the few, more then the many.

MrRee_2

In truth, once you buy and climb aboard the gravy train you benefit from the unique amazing money growing properties of bricks and mortar.

I struggled like hell to buy, but now I may be considered asset rich. It's just how it is and how it happens.

No-one is to blame - just a shortage of property.

brit1234

MrRee wrote: »

No-one is to blame - just a shortage of property.

So if interest rates rose to 5%, QE and all elements of funding to lending ended, help to buy disolved then the so called shortage of property would keep the bubble inflated at today's prices?:rotfl:

lukeh23

MrRee wrote: »

In truth, once you buy and climb aboard the gravy train you benefit from the unique amazing money growing properties of bricks and mortar.

I struggled like hell to buy, but now I may be considered asset rich. It's just how it is and how it happens.

No-one is to blame - just a shortage of property.

But your only asset rich if you sell and exit the property market.

If you want to upgrade to a bigger / nicer place, you're stuck like the rest of us.

And then if things continue to show a likely downward trend on the horizon, then negative equity might be up next, which know one needs.

michaels

brit1234 wrote: »

So if interest rates rose to 5%, QE and all elements of funding to lending ended, help to buy disolved then the so called shortage of property would keep the bubble inflated at today's prices?:rotfl:

People would still be willing to pay the same proportion of their income on housing, there wouldn't suddenly be any more houses.

Generali

Interesting.

I wrote a newsletter today or rather I finished off a piece of work I've been on for a while. One of the things I looked at was comparative returns over the last decade.

Global equities have returned a fraction over 100% as measured by MSCI Global. Global bonds have returned a tiny fraction under 60% as measured by UBS. 30% looks a little mediocre, especially as if I own a house I need to paint it, buy a new bathroom, deal with leaking roofs and burst pipes etc.