The Daily Telegraph - Property - - Cover Story -

Gen­er­ally speak­ing, the more of your mort­gage you’ve paid off, the more se­cure you’ll be if your house price falls.

Few peo­ple ex­pect prices to fall by more than 20 per cent, so any­one who has al­ready paid off, say, 15 per cent of the house value should not be af­fected.

Those who live in prime ar­eas – the Kens­ing­ton and Chelseas of this world – are less vul­ner­a­ble. The value of top UK homes is more re­liant on the state of the fi­nan­cial mar­kets, and on the size of bonuses re­ceived by those who work in the City. Prices here could still drop if there is a big fi­nan­cial re­ces­sion.

Newspapers in English

Newspapers from UK

© PressReader. All rights reserved.