Property Prices - Good time to Buy ?

[keymo]

What do we all think about UK property prices, have they reached their low, is it a good time to buy ?

[Peter W]

I think they will go further down before they start going up again.

[accountantpete]

Looking at the number of unsold properties for sale around here I would echo Peter's comments.

[DickensTranslations]

I'm looking to buy in Italy, the Italian market tends to lag behind the UK market. I think the UK market has got at least another year to go before it bottoms out, therefore I'll be waiting at least that long in Italy.

[recycler]

I agree, in my area there are still lots of houses going unsold, I think that may be down to sellers not really wanting to adjust their prices. I think prices will go down a touch more too.

[accountantpete]

The average house price is £150k and the average income £25k so do the maths.

[PBScott]

Its going to get worse for at least another year, I wouldnt rush yet.

[Eagle]

We're buying this year, regardless.

[Entro]

The average income to house price ratio over the last decades suggests that prices need to drop to about 2002 levels to regain equilibrium. This means a further, large fall. There are other factors which will change this: almost zero interest rates, more mortgage demand than supply, government intervention etc, but I think a further fall inevitable.
As to buying now: you have to live somewhere, and buying as values fall is just like paying rent; you have to cost it all in. There are probably some great deals out there, I just don't know.

[Peter W]

The average house price is £150k and the average income £25k so do the maths.

What income multiple do you predict will be most common for mortgages taken out over the next 5 years?