| Topic: | Re:Re:Re:Re:Re:Only eleven new flats sold in W13/ W5 | |
| Posted by: | Mark Evans | |
| Date/Time: | 16/11/19 07:53:00 |
| That prices need to fall is clear but the way our economy is set at the moment I don't think they can be allowed to. A 20% fall in prices would leave a large number of people with negative equity and have a massive depressing effect o demand in the economy. The fragile banking system would struggle to cope. We have basically got ourselves into the daft position in which property prices have to be propped up. If we leave the EU we are just going to lurch from crisis to crisis as we try to regularise our trade position, a process that could take a decade so the chances of demand from owner occupiers absorbing all the supply of properties in the area is limited. The new flats are likely to be transferred into companies which will rent them out. |