Why house prices could fall by 50%

If there are any die-hard bulls left in the UK's housing market, the latest Rightmove report on prices will surely have given even them pause for thought, says Jody Clarke.

If there are any die-hard bulls left in the UK's housing market, the latest Rightmove report [pdf] on prices will surely have given even them pause for thought.

According to the website's data, asking prices across the UK are 4.8% lower this August than they were last August, with London suffering the worst falls. Asking prices in the capital fell 5.3%, equivalent to a £21,000 drop in just one month. That doesn't suggest much in the way of good news for transaction prices: this time last year, bidding wars meant that buyers usually ended up paying well over the asking price; this year they are paying considerably less.

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Jody Clarke

Jody studied at the University of Limerick and was a senior writer for MoneyWeek. Jody is experienced in interviewing, for example digging into the lives of an ex-M15 agent and quirky business owners who have made millions. Jody’s other areas of expertise include advice on funds, stocks and house prices.