No sooner had I posted my last comment, wondering whether the Capital Economics report on rental values might need some element of revision of capital values, than the IPD Monthly Property Index showed its largest fall since 2009 (Remember what was happening then?) Although the index is based on a sample of 10% of professionally managed real estate investment, it is generally regarded as an accurate marker.
Moodys reports that Banks and financial institutions are better insulated from falls in commercial real estate - but only because they have less exposure than in 2008, having cut their lending by 40%.
Keeping up the metaphor, time to find a doorway to stand in?
UK property capital values fell by 2.8% in July, the biggest drop since March 2009, according to the latest IPD UK Monthly Property Index. It was the second consecutive month of capital value falls following a 0.3% decrease in June. Total returns in July fell to -2.4%, down from 0.2% a month before. The numbers from July represented the first full month of market activity following the EU referendum. Over the past six months, returns in all assets have stood at -0.6%.