New York and London
Saw an interesting post on Silicon Alley Insider - a blog which reviews the business and technology scene on the East coast of the US - today which had an interview with Yale economist Robert Shiller.
In a nutshell Shiller said that the Manhattan real estate market would eventually follow the trends in the rest of the US and head down. As someone who sold a flat in London next year this made me think if the same is true in the UK?
Property prices in the UK have also dropped, but prices in London prices have increased, though not at the rates they increased at last year. Will they head down? Or is London immune to the drop in real estate prices as people think Manhattan might be?
My take is that eventually prices in London will have to drop, it’s too expensive for most people to buy in London and market principles would lead me to believe that more people will move out of London and as a result prices will drop.
But what do I know, I could be kicking myself in a year or two or I could be lying on a beach sipping tropical drinks or I could be doing both. Who knows?
