chinese whispers or possible bubble

ric1982

Hi,

Friend of mine who works for local council (in property related department) mentioned how council are studying property prices in UK for next 2,5,10 years. They are predicting that prices will continue to go up for next 2 years and there will be a major fall after then for next 10 years. i.e. situation like 2008 but instead of 1-2 years, its for 10 years, primary due to brixit.



Not sure the possibility of this but does sounds scary if someone buying a house for 2-5 years.

bobbymotors

Yes, it does. Don't buy. Rent.

Not that I'm biased, being a landlord.

NO ONE KNOWS. It's a market. No one knows what will happen next month let alone next year or years down the line.

Property prices will fluctuate: but they will go up over time.

westernpromise

Well, if the council says it, it must be true.

michaels

Why would a council be wasting money on a bespoke property price prediction when there are hundreds to choose between already free in the public domain?

Mnd

Because it's another way of spending our money

andrewf75

Its only scary if you're buying property as investment. If you're buying a place to live it won't matter when prices do crash - and they almost certainly will at some point. No-one knows, but what we do know is that property prices are pretty unsustainable in the UK and the UK economy is facing serious risks.

Malthusian

If they're capable of predicting property market movements for the next ten years then why are they working in some grotty council office and not making billions in the City?

ric1982 wrote: »

Not sure the possibility of this but does sounds scary if someone buying a house for 2-5 years.

Who buys a house for 2-5 years? Stamp duty alone would make buying a house for two years ruinously expensive even if prices went nowhere. If you only want a house for two years then rent one.

economic

andrewf75 wrote: »

property prices are pretty unsustainable in the UK and the UK economy is facing serious risks.

based on what evidence?

System

This wouldn't be the same council that a few years ago invested all its money in an Icelandic bank that then went bust?

andrewf75

economic wrote: »

based on what evidence?

based on a common sense assessment of the current situation! I know people on this board tend to be either in one camp obsessively wanting a price fall or wanting them to rise, so I shouldn't have commented because I'm neither, but with house prices increasingly unaffordable, high personal debt levels, static or falling wages, the economic risks of Brexit its hardly controversial to suggest that something is going to give.

economic

andrewf75 wrote: »

based on a common sense assessment of the current situation! I know people on this board tend to be either in one camp obsessively wanting a price fall or wanting them to rise, so I shouldn't have commented because I'm neither, but with house prices increasingly unaffordable, high personal debt levels, static or falling wages, the economic risks of Brexit its hardly controversial to suggest that something is going to give.

this sounds nothing more then just personal opinion based on no evidence.

commonsense is unfortunately all to common and usually wrong.