Already we are seeing Below Market Value (BMV) being sold at an increasing pace as both private sellers realise the forthcoming turbulant market and foreclosers by banks are sold off to reclaim their capital. The figure looks bleak and is set to continue possibly to the end of 2010 or 2011. By that time we could see house prices having fallen by upto 40%.

EVen in property auction houses today, we are seeing property sold off at upto 50% BMV and investors have been piling in on these bargains. Real estate abroad has not escaped the turmoil as European countries such as Spain, France and Germany are seeing prices falls and bargains becoming more apparent.

Gobe are the silly days of astronomical house prices where people were buying property as if there was no tomorrow. It appears that over a very short space of time, two years, that the general public that buys property are seeing that house prices are far too high and have all but stopped buying up property from estate agents valueing property at market value. If you want to sell your property in this climate you need to attractive prospective buyers by reducing your price.

Hard times ahead? Yes, though relief by lower interest rates may save some, but if you have been banking on that property price increase you saw over the last few years, you may well see that all shrivel up and head you towards negative equity.