| Comment | Could be. I think that is unlikely though. Over covid property values went up over 10% per year. that simply is not sustainable. Property values have dropped noticeably in the last 6 months and may or may not have reached the bottom. I think everyone acknowledges we are heading into a recession if not already in one. That could well depress property values.
The average full time wage in Glasgow is around £30K and that figure is not rising and there is a lot of external pressures on that (inflation, cost of living, utility costs). That effectively limits what people can actually borrow and afford to pay with rising interest rates. I just went and popped my income and outgoings into a mortgage calculator and the figure it spat out was absurd.
If you are earning £50K a year and can put a down a decent deposit than sure buy a £190K flat. Bu I would caution against what I have seen some people I know do recently where they get a deposit together via bereavement or family support, borrow to the hilt, and end up with a mortgage that can't actually afford if there are any external pressures on their finances. |
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