Friday, June 6, 2008
Putting their money where their mouth is
Britain's housing downturn is unlikely to bottom out until 2011 by which time average prices will have fallen by around 30 percent from their peak last August, derivatives data showed on Friday. The market also indicated that it could take another 10 years for house prices to regain current levels. The Tradition Future HPI, which is based on the non-seasonally adjusted version of the Halifax price index, sees average British house prices bottoming out below £43,000 in 2011 from £186,482 currently. According to derivatives market data, British house prices are likely to shed another 20 percent in the next 24 months.