UK House Prices

UK house prices continue to go up? Or has the market become saturated so that capital growth has stagnated?

The value of your property is increasingly the most substantial part of your assets. So understanding the elements that affect it's value has become increasingly important.

Currently, the market seems over priced because:

  • first time buyers are struggling to buy
  • interest rates are high
  • values are at a peak


Buy to let secrets revealed in UK's first e-book on successful property investment.

However, the key to the future value of property is not to look at their historical performace. Nor to worry about interest rates unduely. ... because these are not the real determinates of property values ..

.... what?... not interest rates?

No! .. the real drivers of property inflation are two related .. but different factors

  1. Demand and
  2. Affordability

Demand

As with all things, demand drives up prices. So, the fewer properties on the market coupled with a growing demand for homes will increase demand and buyers start to outbid each other.

Also, every one wants to live in the best districts of our towns and cities - so these will always be in demand.

Affordability

Affordability means - how easy is it to pay the monthly mortgage?

In 2001 properties are more AFFORDABLE now than before.

In 1990 - approx 2/3 of household income would go on servicing the mortgage.

Today, that figure is just above 1/3.

So - just think if:

...then property will be more and more affordable and so values will go up

So a 50% increase in 5 years is very possible - in areas of great demand (like Richmond, Surrey) it's is more likely to top 75%!

Values will continue to increase. Just remember to keep your eye on affordability and demand

Further reading: much of the ideas for this site, arose from the e-book www.PropertyDeveloperSecrets.co.uk - click to see more.

This e-book contains many 'insider secrets' on how to maximise your own property or buy-to-let investments. Combine the industry experience of this e-book with a good understanding of what drives values in the United Kingdom and you are well on the way to successful property investments.

Other sites
uk house prices from the land registry
uk house prices predictor tool