Will property prices double in the next 10 years?

This week we unpack the often-repeated claim that property prices double every 10 years. Have they done in the past…and most importantly, can we expect to see it happen in the next 10 years?

We talk about:

• The true pace at which prices have grown in the past
• Why property prices tend to go up over time
• The case for why prices will continue to grow aggressively over the next decade
• The arguments for why they might not
• Two key points that are often missed out from this type of discussion: regional differences, and the property cycle
• As investors, to what extent should we let these ideas guide our decisions?

The links we reference are:

• TPP058 when we last tackled this topic
• Regional house price data from the ONS showing how regions have performed since 2008
• The video How The Economic Machine Works by Ray Dalio

Resource of the week

Thanks to Mat for sending us Switchboard Free – a virtual switchboard for managing your calls. We’ve featured similar solutions in the past, but this one seems to have heaps of features – and even offers free 08- numbers.

Nobody wants to be bothered by calls at all times of the day and night – whether that’s from tenants, agents or marketing leads – so getting a solution like this in place is a big step towards being a more efficient and effective investor.

News this week

Thanks to Bjorn for pointing us towards this piece in the FT by Merryn Somerset-Webb.

Merryn argues that what we’ve framed as a supply-side issue is actually a result of excessive demand: demand which could easily reverse as economic policies change.

Our opinions were split, so have a read and see what you think.