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House prices to take over a decade to return

House prices will not return to August 2007 levels until 2023, it has been suggested by one analyst, dashing hopes of many buy-to-let investors wishing for a quick return on their investment.

Andrew Clare, professor of asset management at London's Cass business school, said in an Earth.co.uk report that despite analysts' predictions of prices rising from 2011, the chances of them returning to pre-crash levels soon are slim.

Mr Clare's predictions state that property prices will bottom out at 119,760, based on prices dropping 40 per cent of their value as recorded by the Halifax.

The Halifax valued the average property in the UK to be 199,600 at the height of the boom, meaning the average price will take around twice as long to recover as will have taken to bottom out.

Such a negative outlook may persuade many homeowners not to sell and instead turn to improving the value of their own home in order to make the most of their assets.

Those attempting to add extensions or embarking on DIY should first look into safe storage, which can offer a secure place to keep possessions while renovations are being made to a property.

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