• The UK property market has historically been resilient, outperforming crypto in 2022.
• Despite this, investing in Bitcoin could provide more flexibility in turbulent economic times.
• Property may be overvalued and a bubble forming, while Bitcoin is bottoming after a long bear market.

UK Property Market Outperforms Crypto

The UK property market has generally held up well throughout the decades, with house prices rising rapidly since the 1960s – even despite the Great Recession of 2007 to 2009. In an article by the UK-based Property Reporter, it was shown how house prices had outperformed crypto in 2022, with house prices increasing 10.4% compared to a 40.9% drop year-on-year for bitcoin.

Property as Safe Investment

Given all this history of price rises and a seemingly impervious property market to major economic shocks, many people might opt to buy a house and sit on the investment for a few years or decades – believing it’s the safest place to put their wealth. Alice Bullard from Nested estate agents said: “The UK property market has not only posted a strong and steady performance in recent years but has outperformed the two leading crypto coins on an annual basis, despite economic headwinds dampening the rate of house price growth seen towards the back end of 2022.“

Economic Turbulence Considerations

However, as economic turbulence becomes ever more painful to live with, people could be forced to adapt to sudden and powerful changes in employment rates or prices that could make mortgage payments increasingly difficult. In these cases, having most of one’s wealth tied up in a 25 year mortgage may not be best strategy – especially when compared with options such as Bitcoin that offer more flexibility amidst changing circumstances.

Bitcoin’s Bull & Bear Cycles

It should also be noted that there was no mention of what economic headwinds had done to the crypto market nor how Bitcoin had regularly seen bull and bear cycles throughout its lifespan – something which can act as both an advantage and disadvantage depending on when you choose enter or exit your investment positions.

Conclusion

Ultimately then it boils down to personal preference; some investors will prefer bricks & mortar over digital assets whilst others will take their chances on Crypto markets instead – either way there are risks involved whichever option you choose!

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