I am not an expert in the housing market, so I wanted to ask your opinions. Is this price rise in London sustainable? I look at the price declines in the USA and Japan and ask why the UK is different?
Of course prices are not sustainable. The average salary in London is approximately £30,000. If you want to live in an area that doesn't have alcoholics and gypsies defecating in your front garden a house will cost half a million pounds. Loans to income levels are ridiculous.
I know of an apartment near Mare Street, Hackney which sold for £600,000 to a Chinese investor. Totally bonkers. Mare Street is known as "murder mile" and smells of piss every morning after the vagrants have cleared off.