This graph shows house prices in the UK since 1952, when the Nationwide building society started keeping records. House prices were a mere £1,891 in 1952. By 2007, they had climbed to just under £185,000.
If house prices had kept inline with inflation then a house should be worth £43,701.01 This reflects how mortgages have become more accommodating. Also, parents have used their wealth to help children get a deposit and bigger mortgage
Within this trend for higher higher house prices – two slumps stand out in the late 80s to early 90s and at the end of the 2000s. However, house prices have continued to rise faster than inflation.
Much bigger drop than I expected, It would be interesting to see different graph by area