Property might be the biggest business in the world with construction, the buying, selling and renting of properties and the imputed benefits to owner-occupiers account ing for between 10 and 20 per cent of rich countries’ GDP. Property is also the largest component of tangible capital stock in most economies and is the world’s biggest single asset class. People have much more money tied up in property than in shares or bonds.

The domestic property market is important to economic policymakers. Interest rate policy will have an impact on the housing market and the housing market will be a key influence on policy decisions. When the housing market is strong, growth is boosted and inflation can threaten as house purchase impacts on consumer expenditure. A bursting property bubble ranks highly among the most important threats - easily being able to drag a country into recession. Many individuals have an indirect stake in real estate asset prices through pension funds and other investments.