• UK house prices have been on the up for decades, even in spite of the Great Recession and Covid-19.
• Property Reporter found that house prices had outperformed bitcoin in 2022 by 10.4%.
• Alice Bullard from Nested mentioned that despite economic headwinds, property had still posted a strong performance year-on-year.
UK Property: Long History of Price Increases
The UK property market has seen an upwards push in house prices over the past few decades, regardless of major economic shocks such as the Great Recession and Covid-19. According to an article from Property Reporter, house prices outperformed crypto coins in 2022 by 10.4%, with Alice Bullard from Nested noting that „the UK property market has not only posted a strong and steady performance in recent years but has outperformed the two leading crypto coins on an annual basis“.
Why Invest in a House Over Bitcoin?
Investing in property is often viewed as one of the safest places to put your wealth due to its historical price increases and resilience against economic headwinds. With all this history of price rises and a seemingly impervious market, it may be safer to buy a house than invest in bitcoin or other crypto coins. Additionally, owning property provides more security since it can be kept for long periods of time (e.g., 25 year mortgages).
Potential Reasons Why Bitcoin Has Outperformed House Prices
However, there are potential reasons why bitcoin has managed to outperform house prices over the last decade or so – namely its regular bull and bear cycles which can help investors take advantage of sudden surges or drops in price when needed. Additionally, bitcoin offers more options than traditional investments such as houses since it can be easily converted into cash when necessary – something which is much harder with a physical asset like houses.
Is Now The Right Time To Invest In Bitcoin?
With money available to be spent, many people might wonder whether now is the right time to invest their money into bitcoin instead of buying a house since we could potentially be at a ‚bottoming‘ point after an extended bear market. Ultimately though this decision will depend on individual circumstances such as risk tolerance and financial goals – both short term and long term – so it’s important to speak with experienced advisors before making any decisions about investing large sums of money into either asset class.
In conclusion, although both property and bitcoin have seen increasing levels of success over recent years, it’s ultimately up to each individual investor to decide which option best suits their needs and goals – whether that be safety/security or flexibility/liquidity .