Not my personal opinion, but that of an academic named Andrew Clare of the Cass Business School. The Guardian has reported that he thinks house prices won’t reach their August 2007 peak until some time in 2023.
The only real positive to come out of Professor Clare’s research relates to first time buyers – “By 2010 the price-to-earnings ratio would be much closer to a sustainable level – very close to the old-style mortgage multiples that lenders used,” he said. Great news for people who, like myself, were born at precisely the wrong time to get on the ladder.
It should be stressed that Clare’s report is the only one I’ve seen predicting such a protracted timescale for a market recovery, but that doesn’t necessary mean he’s wrong…
What does everybody think about Andrew Clare’s bleak house price forecast?
It would be great to hear when the 4Homes regulars think the market might bottom out, but as I said on the 4Homes forum earlier, right now it really is anyone’s guess.
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i think it’s ridiculous saying it won’t be til 2023 – everyone else seems to think it’ll be maybe end of next year or the year after, not 15 yrs!
I’m also not with Professor Clare on this one, but then it does sound like he’s done his research. Still, it seems like a worst possible scenario…
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