Is the property cycle real?
Jeremy McGivern
Founder of Mercury Homesearch | We help individuals and families acquire their ideal homes and investments in prime central London while avoiding all the wasted time, money and stress suffered by most buyers.
I thought I would look at one of the questions that I am asked a lot:
“How can the property cycle repeat like clockwork without it being common knowledge? Surely, city analysts and economists know about it and so too would the mainstream media if it existed?”
And coupled with that question is the statement – “With technology and the ease that one can look up data and information, people will have a better understanding of the property market so you can’t get an advantage and future booms and busts are unlikely.”
Good points. Unfortunately, history has proven that despite amazing advances in technology - the invention of the printing press, computers, the internet – humans only have a limited capacity to process information. And the way that we seek out information and then interpret that information is not logical and based far more on our emotions and social conditioning.
For example, economic theory nowadays doesn’t assign a great deal of importance to land use…?
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