Traders predict UK house prices will fall by 50% in four years

[w¡n9Nµ7 §£@¥€r 123]

The slide in house prices will continue for at least three years and crush the value of a home by almost 50% in real terms, according to a key index of property price futures. Indications from futures trading on long term property prices shows that the average UK home will recover its current value only in 2017.

By the end of this year prices will be down by 10% and by a further 10.5% in 2009, according to the index. Prices will keep dropping through 2010 and cut values by 23.5% when they hit rock bottom in 2011. House prices will then begin a slow climb back to current market values over a period of about six years.

If an average retail price inflation rate of 4% is included in the calculation and in addition the 8% drop in prices over the last eight months already registered by the Halifax index, the fall in values over almost four years will reach 47.5% in real terms.

http://www.guardian.co.uk/business/2008/ju...ket.houseprices

[william_wallace 8]

The slide in house prices will continue for at least three years and crush the value of a home by almost 50% in real terms, according to a key index of property price futures. Indications from futures trading on long term property prices shows that the average UK home will recover its current value only in 2017.

By the end of this year prices will be down by 10% and by a further 10.5% in 2009, according to the index. Prices will keep dropping through 2010 and cut values by 23.5% when they hit rock bottom in 2011. House prices will then begin a slow climb back to current market values over a period of about six years.

If an average retail price inflation rate of 4% is included in the calculation and in addition the 8% drop in prices over the last eight months already registered by the Halifax index, the fall in values over almost four years will reach 47.5% in real terms.

http://www.guardian.co.uk/business/2008/ju...ket.houseprices

Tell me something I don't already know.

[Amby 490]

#######...so do we sell our flats now or wait?

[Ban Hammer 13,358]

#######...so do we sell our flats now or wait?

sounds like now!

[Amby 490]

might be doable since Neil's mom is moving out of the one in Newcastle in a few weeks

[rebeccajo 14]

#######...so do we sell our flats now or wait?

What a heart-wrenching decision to have to make.

[w¡n9Nµ7 §£@¥€r 123]

#######...so do we sell our flats now or wait?

If you can afford to hold it, I'd hold. It's in a really nice spot, right?

[Sister Fracas 5]

hmmm, we should plan our move over for 4 years from now...

but what to do with our current property...

[Trompe le Monde 1,107]

We sold ours when we left in 2005 believing the market had peaked then. Of course it hadn't, but we'd already made more than double what we paid and wanted to protect the investment not knowing what the future held and that the market just couldn't sustain that kind of growth long term.

[zqt3344 21]

Britain has been longgggggggggggggggggggg overdue for housing drop or correction in prices, you seen what they charge for homes there, insane and not worth it at all. Another housing bubble goes pop!

The slide in house prices will continue for at least three years and crush the value of a home by almost 50% in real terms, according to a key index of property price futures. Indications from futures trading on long term property prices shows that the average UK home will recover its current value only in 2017.

By the end of this year prices will be down by 10% and by a further 10.5% in 2009, according to the index. Prices will keep dropping through 2010 and cut values by 23.5% when they hit rock bottom in 2011. House prices will then begin a slow climb back to current market values over a period of about six years.

If an average retail price inflation rate of 4% is included in the calculation and in addition the 8% drop in prices over the last eight months already registered by the Halifax index, the fall in values over almost four years will reach 47.5% in real terms.

http://www.guardian.co.uk/business/2008/ju...ket.houseprices

[Trompe le Monde 1,107]

Money Week has been predicting this for the past 2-3 years. The good news is that if you want to move back to the UK in a few years, it will be much more affordable than it is now!

[Alex & Rachel 78]

#######...so do we sell our flats now or wait?

I'd wait. It's already difficult to sell, and rent demand is still high.

Although as a person who's trying to save every penny she can and has been renting in the UK ever since leaving her parents' home I have to say you're the type of person I curse sometimes. House prices are ridiculous! It wouldn't be so bad if the houses that were available to rent were half-decent, but they're not. The standard of properties is absolutely appalling.

[Welshcookie 17]

I'm really pleased we held off buying a house here...they are too expensive and you don't get much for your money.