Does the real estate market after the crisis?

The press in the UK are overcrowded with enthusiastic epithets about the recovery of the housing market in the UK after the collapse, the ensuing economic crisis. However, the real picture on the real estate market in the UK is that it is definitely possible to speak only about the recovery of the housing market in London and the South East of England. The real estate market in other regions is still very unstable. The real estate market in the UK, with the exception of two successful regions still not reached the level of 2008.

If the result is more accurate statistics, 326 of the municipal districts of England, only 71 district, where prices had exceeded its maximum value in 2008, but this is without taking into account inflation, which over the period 2008 to 2013 was 14%. If you adjust prices for inflation rate, the peak 2008 is exceeded only in 11 municipalities. In more than half of the regions the prices are still far behind its pre-crisis level, although there have been some signs of improvements. Meanwhile, the increased the price gap between the North and the South, which had always been enormous.

In General, prices in the UK, even in relatively wealthy districts such as York, Bristol and Gloucester , are still more affordable than before the crisis, approximately 95% of their pre-crisis peaks.

The pace of price growth in London 7 times higher than the growth rate of prices in the rest of the UK.

The average property price in London is 9.3% more than their pre-crisis levels of 2008. For anybody not a news the range of prices within London. For example, real estate prices in the exclusive area of Westminster on 40% on the £200,000 above the 2008 level.

Fairly rapid growth was observed outside of Central London, where the average price of residential property rose to £67000 or 24% higher than in 2008.

However, in London there are still places available at prices. This is the Eastern part of London. Areas of Newham, Barking and Dagenham and Havering, where to this day below pre-crisis levels. The gap of these regions with the rest of London began to decline, but this process is very slow.

® Alice Morgan 28.11.2013