Prior to the election of the present Labour Government, the UK property market had tended to move in very cyclical patterns with significant (short term) boom and busts episodes.  Over the last 10 years this particular trait has faded and the UK property investment market has been on a general upturn for some time.  The release of significant numbers of social housing over the last decade has helped to flatten the natural boom and bust curve.

As the UK continues to attract significant overseas property investment the UK propertyinvestment market around the major cities have tended to lead the way with regards to price rises (particularly London property and the South East).  Where the major cities lead, the smaller cities and towns have followed  - although there is often a time lag as the factors affecting the general market slowly spread far and wide.

While the UK market has been prone to short term, often volatile, swings, there is no doubt that the return on UK Property over any significant period has been significantly higher than those of mainland Europe.  The UK has always been a very much purchase driven market, however as the international profile of the country continues to grow, a prosperous rental market has been created - with particular emphasis on London which has led the way in Europe with regards to financial markets in particular (The Stock Exchange, Petroleum Exchange, Metals Exchange, etc).

There are a number on anomalies with regards to property transactions in each of the four individual countries, and these should be assessed at the time of any transaction.  In the main the differences relate to how bids are entered and how they are chosen. 

As the financial institutions continue to increase their lending to the mortgage industry, it is now possible to obtain mortgages based upon up to five times your income.  This recent increase in the basis has further helped to fuel what was, and continues to be a buoyant area of investment.