From The Telegraph:
House prices are falling at the fastest rate since the Great Depression new figures show, with the number of home owners in negative equity trebling in the last month alone.
David Owen, chief European economist at investment bank Dresdner Kleinwort, said: “It is a major collapse. The last correction in house prices was around 20 per cent from peak to trough.
While the number of people currently in negative equity is well below the level hit in the early 1990s, when two million fell into that predicament, the speed of the deterioration has shocked many experts.
“In the early 1990s, the peak-trough decline in house prices was 13.1 per cent, and this occurred over 74 months, from May 1989 to July 1995.
Jeremy Leaf, a north London estate agent, and spokesperson for the Royal Institution of Chartered Surveyors, said: “People will carry on pulling out of deals until they are confident that we have hit the bottom.
Equally, some sellers are being shocked to discover that m…