Property News · October 12, 2015

Soaring London house prices sucking cash out of economy, study says


Study shows knock-on effects of high mortgages and rents on consumer spending and wage bills, increasing risk of capital becoming no-go zone for staff across whole sectorsSoaring London house prices are costing the economy more than £1bn a year and preventing the creation of thousands of jobs, as individuals plough money into buying and renting instead of spending their cash elsewhere, a report has claimed. London’s housing market recovered quickly from the financial downturn of 2008-2009 and in recent years rents and house prices have rocketed. House prices are more than 46% above their pre-crisis peak, at an average of £525,000 according to the Office for National Statistics, while rents in the private sector have risen by a third over the past decade. Continue reading…

Source : theguardian.com
Read more…Soaring London house prices sucking cash out of economy, study says

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