UK houses 34% overpriced

[lukemg]

Gulp.......hope not, just bought one.

Expecting continuation of prices going sideways which means essentially reducing as inflation takes a bite each year.

[BlasterBates]

Germany undervalued by 26% (biased?)

Not at the moment, houses very reasonably priced.

[DimPrawn]

Or is gold overpriced?

Or is sterling undervalued.

[BrilloPad]

Look pretty cheap to me, priced in gold.

Or is gold overpriced?

[DimPrawn]

Look pretty cheap to me, priced in gold.

[Lockhouse]

A house is only worth as much as someone will pay for it so speaking in terms of over\under valued is meaningless - it's always going to be the "market value".

[Gonzo]

The picture in the article looks like Durham on a sunny day.

It therefore has no credibility.

[BrilloPad]

"he looks at the relative valuation of housing markets as measured by price/rent and price/income and compares those ratios to historical long-run averages."

Ultimately anything is worth what someone is prepared to pay for it. Which will depend on alot of things - a major contributor being availability of credit. If we went back to 125% mortgages tomorrow we would suddenly look undervalued.

[TimberWolf]

According to Torsten Slok, chief international economist at Deutsche Bank Securities

Japan the most undervalued at 37% under
Germany undervalued by 26% (biased?)
USA undervalued by 9%
Spanish overvalued by 33% [ only 33%?, maybe Germans are snapping them up?]
Australia overvalued by 39%
France overvalued by 42%
New Zealand overvalued by 44%
Canada overvalued by 54%
Belgium the most overvalued at 56% over
etc

The Most Overpriced Housing Markets In The Developed World