That was, in case now we have forgotten, the one worst “near extinction event” to hit the markets because the Great Crash.
And sure, prices slumped over that winter of 2008 and 2009, however they'd already begun to drag out of their dive by summer time 2009 after Mark Carney pressed the emergency button on interest rates, driving them down all the best way to 0.5% by March that yr.
And there they stayed — in reality going even decrease after Brexit and in Covid — till the tip of 2021. That, mixed with a stamp obligation vacation and government-backed schemes akin to Help to Buy, despatched costs hovering to ranges the place most London kids have given up hope of ever proudly owning the roof over their heads.
It is value remembering London costs are nonetheless double what they had been after the monetary disaster.
But with the low rate of interest leg of assist kicked away, the stamp obligation vacation over, and Help to Buy ended it's exhausting to see what's left supporting costs at these ranges.
So it appears doubtless we at the moment are in for an extended interval of flat or gently falling costs.
But a Seventies- or Nineties-style full-blown crash? Perhaps not.
London is a much more international metropolis now than then and the scent of any softness in costs will rapidly be picked up by worldwide investors who know a discount once they sniff one.
The poor stewardship of the economic system means they could not very like gilts any extra — however the enchantment of a house in Chelsea, Hampstead or Notting Hill is timeless.
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