Sadly, the house prices are unlikely to reduce to a sensible amount any time soon.

The main concern is as stated those with potential for neg equity. Neg equity is usually not the issue though - it is when interest rates rise to the point where those people cannot afford their monthly payments.

The issue is that income has not increased to reflect both house prices and raises in tax. Net result, under Labour you are substantially poorer than you would have been - unless you are one of those receiving substantial tax credits.

JJ