Turning points

Key moments in a continuous cycle

  • In the last section on value we saw a wave motion passing through areas across the spectrum of price - the ripple effect

  • Here we analyse this further into two ‘modes’ or ‘factors’ which are most easily seen via snapshots taken at turning points in the cycle

  • On the right of the graphic, we see that in the year to 2003-07 low-priced areas substantially outperformed Midlands and London

  • Two years later at the bottom of the cycle, the North and London outperformed the Midlands

  • Eight years on, London was outperforming Midlands, which in turn outperformed the North

  • Three and a half years later, the Midlands were outperforming North and London

  • Which brings us to now, when once again the North is starting to outperform all else - in this way the cycle repeats

  • Between these dates, which are more-or-less turning points, the transitions are more-or-less smooth

  • The ‘factor’ driving the left-right axis is a uniform tilt, whilst the factor driving the vertical axis is ‘middle versus edges’.