The House Divide

By london_pjb Last edited 234 months ago
The House Divide

crushsm[1].jpgNothing is more likely to set the dinner party conversation in London aflame than speculation on the direction of house prices.

So the latest report from Nationwide that house prices, er, nationwide have fallen for the first time in three years, plus a warning from the National Institute of Economic and Social Research that house prices could fall by 20% to 30%, will doubtless have thirty-somethings from Plumstead to Primrose Hill worrying about that remortgage that they took out last year to pay for the new 4x4 sitting in their newly rebricked driveway.

Londonist has long argued at those social gatherings to which it is still, unbelieveably, invited that house prices in London are at an unsustainably high level.

A more contentious point is that most people should be praying that house prices fall rather than rise.

Unless you are planning to move abroad, own more than one house, or to trade down to a cheaper property, the cheaper the price of houses, the better.

Then, when you trade up to a bigger property, you get more bang per buck.

Last Updated 29 October 2004