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Older generation shows greatest property confidence

Posted by Richard in Property News, 18th August 2010, 9:06am

Results from the latest Worldwide Property Group confidence tracker survey reveal some interesting differences between the generations. Although the vast majority of people who took the survey are of the opinion that property prices will not fall over the coming year, there are large differences in opinion between the generations with the 45 - 54 age category showing the greatest confidence.
60% of respondents within both the 45-54 and 55-64 age group expect prices to rise in the next 12 months versus just 23% of the 35-44 age group. What’s more a huge 100% of 45-54 year olds believe that right now is a great time to buy UK property with 90% of the opinion that the current market also offers excellent opportunity overseas; indeed 80% are currently considering buying an international property. This is in stark contrast to the under 25’s where just 50% feel that today is a good time to buy a property in the UK.
Interestingly, less than half of all respondents are of the opinion that interest rates will increase over the next 12 months with 7% actually expecting a further reduction. On the subject of investments a huge 75% said that property offered the best investment potential of all major investment options.
Commenting on the figures, Kevin Wilkes, Managing Director of the Worldwide Property Group said: “It is interesting to see how different groups have differing opinions regarding the property market, but actually not that surprising. Property prices may seem very high to the younger generations where many are still looking to buy their first homes. However, affordability has dramatically improved over the last few years and if our survey respondent’s interest rate predictions are correct this will remain the case for quite some time.
Confidence in property as an investment continues to ride high as it offers great stability when compared to other investment categories and can provide much greater returns and safety in the long term. Interestingly shares didn’t receive even one vote.”