The housing market may soon receive a boost due to falling prices. Here in Nottingham there are absolutely shedloads of trendy flats etc. on the market that can’t sell because they are asking too much and the prices have been dropping recently quite a bit, even out in the suburbs. In a similar vein a number of buy-to-let people are finding it hard to recoup the money for the mortgage and are starting to sell-up. They may make a loss, but investments can go *down* as well as *up*.
That will be at least good for the young first-time buyers who have a little money tucked by to get onto the housing ladder. Unless, of course, other people start that cycle again and snap up houses when they are at the bottom of the market and cause the prices to rise significantly, pricing them out of the market again. I guess it means that they will just live with their parents until they are old-aged. I’m hoping that mortgagers will be sensible the next time around and the market stays sensible as opposed to stratospheric.