Jump to content
House Price Crash Forum
Sign in to follow this  

Ecb Rate Rises Threaten European Housing Boom - Rics

Recommended Posts

Just seen that. Amazing. The penny is dropping and we're still at less than 3%!!!!

Rising eurozone interest rates could spell the end of the “great European housing boom”, even if a property price crash is unlikely, according to a report issued on Tuesday.

This year appears likely to see a “marked reduction” in house price growth across Europe, the UK’s Royal Institution of Chartered Surveyors reported. Second homes around the Mediterranean, many bought by northern Europeans, “have the highest risk of price falls”.

The report highlights the potential impact of moves by the European Central Bank to raise borrowing costs from historic lows. The Frankfurt-based bank, which has become more worried about house prices in some eurozone regions in recent months, raised its main interest rates by a quarter percentage point in December and again last week, to 2.5 per cent. Analysts think interest rates could reach 3 per cent by the end of the year.

Now a crash is "unlikely." Next it will be possible, then probable, and then inevitable.

"If you have to forecast, forecast often.”

Edgar R. Fiedler


Share this post

Link to post
Share on other sites

Yeah, but Europe actually makes things other than houses, so they don't have to care: they can raise rates for good reasons and not worry about sacrificing the Irish to decades of slavery to the banks.

Share this post

Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?

      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%

  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.