House price data for the UK market compiled by Nationwide shows in the 12 months to February, shows house prices fell 17.6%. This, the 16th consecutive contraction is now the biggest fall since Nationwide started to collect data in 1952.
Meanwhile Standard and Poor’s have released the latest update to the S&P/Case-Shiller 20 city composite index which shows in the 12 months to December, house prices in the US fell a record 18.5%. From the peak of the US housing bubble in quarter 2 ’06, US house prices are now down 26.7%.
» British house prices in record fall – AAP, 26th February 2009.
» U.S. housing market bottom may be a year away: Case – Reuters, 26th February 2009.
It doesn’t look good for Australia’s bubble.
How long will it take before the Australian bubble really bursts? Are there any more policy measures to watch out for from the govt to avoid a burst?
In the meantime, Australia is bucking the trend. The lucky country is now turning out to be the unluckiest country for its home-wanting inhabitants.