undefined | Better HN

0 pointsspokenn12y ago0 comments

Aren't you guys in a bubble?

0 comments

London has its own economy when it comes to property. Prices have soared to a new record high just in a month (+10%).

So yes, I think the capital is overheating.

Maybe - I can't see prices ever dropping significantly though. Maybe 20%, but they'll always be intimidatingly expensive for first-time buyers.

dougabug12y ago

Lehman Bros collapsed because their computer models excluded the possibility of a major decline in real estate prices. Investor confidence is a contrary indicator.

j / k navigate · click thread line to collapse