TPP181: Is UK property unaffordable?

Depending on who you listen to, it's either the perfect time to invest in property or it's horrendously overvalued and ripe for a crash. This week, we look at the data behind the claims that UK property is unaffordable – and show how easy it is to cherry-pick one measure to support an agenda. We look at affordability through the lens of: Actual house prices (and see the shocking impact of inflation over the long-term) Prices after adjusting for inflation, to identify the specific extent of house price inflation The price of houses as a multiple of earnings, and whether this is historically high The ongoing affordability of housing, looking at the monthly cost of a mortgage as a percentage of income There are some fascinating stats – as well as some really important insights into how affordability varies across regions, and where value might be found.   See omnystudio.com/listener for privacy information.