Probably the UK central banker has the worst job in the world right now.
I can’t think of any other place where people’s sense of net worth is as tied up with their house price as it is in the UK, while at the same time the increase in house price that people have been conditioned to believe is the norm over the last decades is wholly unsustainable given the stagnant wages. Take a look at house price to wage ratio over the last two decades.
Something has to give eventually either a mighty correction in the housing market that will shock many that were lead to believe it is the only safe investment, or an uprising of those who have no chance of getting on the ladder.
I would love to be proven wrong by a sudden influx of broad-based well-paying jobs, but I just don’t see how and where they will come from.
I can’t think of any other place where people’s sense of net worth is as tied up with their house price as it is in the UK, while at the same time the increase in house price that people have been conditioned to believe is the norm over the last decades is wholly unsustainable given the stagnant wages. Take a look at house price to wage ratio over the last two decades.
Something has to give eventually either a mighty correction in the housing market that will shock many that were lead to believe it is the only safe investment, or an uprising of those who have no chance of getting on the ladder.
I would love to be proven wrong by a sudden influx of broad-based well-paying jobs, but I just don’t see how and where they will come from.