Britain is expected to see property prices soar come July 15, with a recent study showing a history of inflation following a World Cup.
The research, carried out by Property Rescue, found that since 1970, there has been a rise in property prices immediately following the football tournament, as house hunters take a break from the market to follow England’s progress.
Since Mexico 1970, property has risen 3.8% on average following a major tournament, with only 1974 and 1994, two summers England failed to qualify, the only exceptions. In 1974, property rose just 0.9% between April and August, while 24 years ago during the tournament in the USA, the market saw a downward turn, dropping by 0.6%.
The biggest rise came in 2002, when England were knocked out by a looping lob by Ronaldinho. Property rose by 10% following the tournament, going on to rise by 41% up to the beginning of the following tournament in 2006.
Danny Nieberg at Property Rescue said, “The World Cup rarely fails to capture the imagination of the country, but once it’s finished the large amount of people re-entering the property market leads to prices soaring.
“It’s interesting to note that when England don’t qualify, the market either stays steady or has the complete opposite effect. While this was the case in 1994, it was also evident at the European Championship in 2008, where the market dropped off by nearly 4%.”
The biggest inflation rate between tournaments fell in the period separating 1970 and 1974, where property saw a 114.7% increase, while in more recent years, the market rose 45.8% between France 98 and the 2002 World Cup in Japan and South Korea.
Property prices actually dropped between the tournament in Germany in 2006 and South Africa four years later, while as a whole, since England won the tournament in 1966, property has increased by a whopping 11,000%.