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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: Hawkmoon who wrote (92175)	7/4/2012 11:45:09 AM
From: elmatador	1 Recommendation Respond to of 217755

does not justify the current premium placed on home ownership that assumes it is a productive asset rather than a liability in which we make a home. Conclusion I believe that we don’t just have an overvalued property market in the UK but that we are also facing many structural, societal and financial problems which does not justify the current premium placed on home ownership that assumes it is a productive asset rather than a liability in which we make a home. The UK has serious problems with those that will become the property buyers of the next two decades. There is excessive youth unemployment, an oversupply of graduates possessing a skills deficit for real world jobs, an all pervasive entitlement culture and an intergenerational rift where parents appear to have spent their children’s inheritance and priced them out of their future. Many graduates have been led to believe that because they possess a degree they have a god given right to highly paid, highly engaging employment in the industry of their choice but alas we do not have need for 25,000 Photography graduates each year or the thousands of degrees in Forensics driven by a generation brought up on CSI Miami. Not every graduate in “International Business Studies” is going to end up working as Richard Bransons right hand man. Ultimately, the generation under 30s seems incapable of affording to buy their parents house having struggled through the Great Recession are stymied with patchy work experience and often substantial student debt that must be addressed before home ownership or saving even considered. A further 5-10 years of painful deleveraging and scarce growth is not going to help ease these painful adjustments to a harsher reality of lowered expectations and bruised egos. If you have a plan to sell your house then I think you should do it pretty quickly (I sold an investment property last year) and if you are considering buying then you should perhaps consider the timing or whether you buying for profit or as a home. It wouldn’t surprise me at all to see house prices at the same level they are today in 5-10 years time, the greater question will be whether they merely stagnate or whether we see a fall of anywhere up to 40% allowing the market to clear and buyers to swoop in. The UK Economy: An In-Depth Look at the Housing Market valuewalk.com