House prices could fall 30%. Should investors be worried about a repeat of 2008?

Some analysts are predicting that house prices could fall as much as 30%, which, when compared to the fact that prices have jumped 28% since April 2019 doesn’t seem too unrealistic. But could this cause another financial crisis?

Miniature model of yellow single family house about to fall off edge of white shelf, blue background
(Image credit: © Getty images)

The outlook for UK house prices is bleak. After two years of explosive growth, the market is now starting to slow as the cost of borrowing rises amid interest rate increases.

Analysts expect this trend to continue into 2023, with some predicting that prices could decline by as much as 30% next year (this could be good news for buyers looking to snap up a bargain).

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Rupert Hargreaves
Contributor and former deputy digital editor of MoneyWeek

Rupert is the former deputy digital editor of MoneyWeek. He's an active investor and has always been fascinated by the world of business and investing. His style has been heavily influenced by US investors Warren Buffett and Philip Carret. He is always looking for high-quality growth opportunities trading at a reasonable price, preferring cash generative businesses with strong balance sheets over blue-sky growth stocks.

Rupert has written for many UK and international publications including the Motley Fool, Gurufocus and ValueWalk, aimed at a range of readers; from the first timers to experienced high-net-worth individuals. Rupert has also founded and managed several businesses, including the New York-based hedge fund newsletter, Hidden Value Stocks. He has written over 20 ebooks and appeared as an expert commentator on the BBC World Service.