About a month ago, I blogged about the market in 2009. My position was that there might be some opportunities for investment.
The BBC in Nottingham - sold in 2009
Interestingly PropertyData have just released the January 2010 figures and it looks as though there has been some improvement. The research suggests 1.146bn of property was sold in the first month of 2010 compared to £766m in January 2009. We still have some way to go to get back to 2006 levels when £3.695bn of property was transacted in the January!
Perhaps more interestingly is the compression in yield – i.e the increase in pricing. Although something of a ‘crude’ measure it is possible to measure the ‘all property yields’. This simply groups all property types and calculates the return in percentage terms. It can then be used as a comparison against other investment products.
The figures:
last 12 months – 7.2%
last 6 months – 7.03%
last 3 months – 6.85%
last 1 month – 6.68%
There is a move towards investing back in property….
Prices are still attractive when you consider rates for cash at the bank!
You might also have been slightly concerned had you invested monies in Toyota ‘blue chip’ shares which have fallen 16% in the last few weeks with the news of recalls to various cars…
Property – safe as houses?
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