Comments on: Fears Over House Prices

By: ArticleAlley

ArticleAlley — Wed, 16 Apr 2008 22:09:03 +0000

Disposable income has also fallen due to increased prices for fuel – household gas and electricity plus petrol is much more expensive.

Lower spare income means less money for mortgages = lower prices.

By: Tejvan R Pettinger

Tejvan R Pettinger — Fri, 11 Apr 2008 19:17:56 +0000

Thanks for comments.

Each housing market is different, and it’s worth avoiding generalisations. It is hard to predict what will happen to house prices, and it is quite likely that they will fall. But, I never forget those who have been predicting a housing slump for the past 5 years.

By: Monevator

Monevator — Fri, 11 Apr 2008 18:52:42 +0000

After defying gravity for so long, I wouldn’t put it past the UK housing market to somehow escape the slump that seems so certain. But I wouldn’t bet on it!

It’s interesting to me that your post lists reasons why the UK is different to the US, whereas I’ve seen so many written the other way around (people saying that the UK wouldn’t slump because we were now more like the US, which had never had a national housing slump, or at least not since the 30s…)

Perhaps the lesson is that every country must be taken on its own terms?