Why a UK housing boom is both possible and not understood by the government and Bank of England

George Osborne recently tried to assure us. "I don't think in the current environment a house price bubble is going to emerge in 18 months or three years," or so he told parliament this week. The Bank of England governor promises us he won’t let it happen – no bubble...Read More

UK economic barometer points to hot

If you are a regular reader here, you will know that Investment and Business News has long considered the Residential Market Survey from the Royal Institution of Chartered Surveyors (RICS) as just about the best barometer of the UK housing market – and to a lesser extent the UK economy...Read More

Posted Aug 13, 2013

Construction versus bubble

George is blowing a bubble, and no this is not a reference to the royal baby, rather to the right royal mess George Osborne may be creating with his Help to Buy scheme. The list of those accusing our chancellor of creating a new housing bubble is getting longer. But...Read More

Posted Aug 08, 2013

Property bubble: is this a yarn that can only ever have an unhappy ending?

It is a little odd. The UK enters its worst downturn ever recorded; average wages increase at a rate that is much slower than inflation meaning that for some time average households have been getting worse off, but what do house prices do? Sure they crashed in the US; they...Read More

Posted Jul 29, 2013

House prices: the global story

House prices might be rising in the UK, but that is not what’s happening across most of Europe.

According to new data from the EU Commission, house prices across the Eurozone fell 2.2 per cent year on year in the first quarter of this year. Across the EU they...Read More

Posted Jul 16, 2013

Housing bubble or housing recovery built on solid foundations?

House prices are up again. The data provides overwhelming evidence. But what is especially compelling is the latest survey from the Royal Institution of Chartered Surveyors, or RICS. Its residential survey market index it not merely a good guide to the UK housing market, it is a good guide to...Read More

Posted Jul 15, 2013

Is that a sword of Damocles hanging over the UK housing market?

There once was a king in Sicily called Dionysus. He had a courtier called Damocles who, in his efforts to flatter his King, told his liege how fortunate he was. To teach the obsequious inferior a lesson, Dionysus offered to swap places. There was a catch, however; above Damocles, sitting...Read More

Posted Jun 28, 2013

More evidence that house prices are turning

It’s a quad trick, or whatever they call the thing that comes after a hat trick. No less than four reports on the UK housing market in May point to prices rising. The latest of these readings from the Royal Institution of Chartered Surveyors (RICS) is perhaps the most encouraging....Read More

Posted Jun 11, 2013

UK house prices still overpriced, but pity the Canadians

UK house prices may be rising again, but they are still too expensive. Or so is the inference from data published by the OECD this week.

In fact, suggests the OECD, UK house prices to rent are 31 per cent higher than the historical average since 1980, and to...Read More

Posted May 31, 2013

UK house prices still going up

Earlier this week, Hometrack rereleased its latest housing report, this time covering May. This morning it was Nationwide’s turn. And then finally, we have the latest data from the Land Registry. The big snag with Land Registry figure is that it lags behind most of the other reports. So while...Read More

Posted May 30, 2013

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