House price growth 2030

[Lm1981]

Is anyone else expecting to see house prices pick up and show a substantial increase vs prices from 2022 peak?

i think alot of demand is brewing and once the cost of living crisis is finished / likely gov change things should pick up? Hopefully first time buyers will get a chance instead of having to pay more in rent than what a mortgage would be

How on earth is a sunstantial increase in house prices going to benefit first time buyers?

A substantial fall, back to the lower income multiples needed to buy, would be a good idea. As a homeowner, I'd be happy to see the value of my house drop by 1/3, if it meant my young adult DC stood a chance of being securely housed.

I think longer term mortgages would be the answer - 40 or 50 year. Some countries do multigenerational.
realistically speaking I can’t see house prices dropping and I don’t see wages catching up due to the impact that has on inflation.

I can’t see prices dropping much, most of “the crash” will be nominal (higher wages not lower house prices). I wish they would fall by 50% for my DCs benefit.

I think by 2030 prices will definitely be higher than 2022 peak and I expect interest rates to stay around 5% all that time.

By the way, even in the 1980s it was normal for the rents to be higher than mortgages - it didn’t stop prices rising.

I know a house that rented out for £550 a month in 1990, it rents today for £700 a month. Wages have more than tripled since 1990.

No one knows what will happen by 2030. One thing I feel more certain about though, is it’s not going to get better for FTB. If prices drop by a lot more than they already have, the economy would be in such a dire state that FTBs won’t be able to get finance. Prices have already dropped from 2022 peak and FTBs are struggling more than ever.

No. I think they will fall further. About time people got a chance to get on the housing ladder or upgrade their current house.

I think most homes will loose the value they gained during the post covid boom/stamp duty holiday and then prices will stagnate for a decade at 2019 levels.

Interesting views thank you

i just can’t see them dropping much , someone else posted a great response in another thread which was along lines of supply demand and nobody is forced to sell unless can’t afford it etc

The key thing to remember though it’s not just the supply and dams for the actual house, because of people borrowing it’s also the supply and demand of debt, and debt has got a lot more expensive so demand will drop. Case in point, we’re looking to upsize and our budget for our next property has reduced 150k as a result of mortgage rate increases.

I think there might be a shift in wealth distribution soon, as the aging population hand down their assets when they sadly pass away.

Plus, I question whether there will be huge demand for housing in the next 25 years, seeing as the natural population on Uk is shrinking. The over 60s currently have over 6 million spare bedrooms on the UK, so surely there will soon be a surplus of housing stock.

https://www.ft.com/content/7a558711-c1b8-4a41-8e72-8470cbd117e5

https://www.statista.com/statistics/321097/distribution-of-home-owners-in-england-uk-by-type-of-home-financing-and-age/

https://www.yorkshirepost.co.uk/lifestyle/homes-and-gardens/call-for-radical-action-as-the-number-of-people-owning-multiple-homes-doubles-while-the-number-of-young-homeowners-halves-3785129