Mortgage crisis in the UK

Bank of England published a very interesting survey of household financial conditions in the UK. The following graph shows quarterly percentage changes in the house purchase and remortgaging dynamics in the UK between Q2:2007 and Q1:2010. As the graph indicates, there is an excess volatillity in the housing market as a result of loose monetary policy and unpredictable mortgaging changes. Housing markets reflect the instability of the UK economy.

House purchase and remortgaging dynamics in the UK

Source: Bank of England, 2010 (link)

International comparison of housing prices

The Economist collected quarterly data on housing prices between 2003 and 2009. It is interesting to see how housing markets in different countries were affected during that period. You can roll over the chart here.