House Price Betting | Example: National

A simple way to gain exposure to the UK housing market.

It is 1 September 2009 – the UK housing market is rising, and you believe it is set to continue doing so. Our price for the March 2010 monthly survey (in £1000s) is 163.5 – 165.5.

As you believe house prices will continue to rise, you decide to 'buy' £1000 per point at 165.5.

You are right, and the Halifax House Price Survey figures continue to rise. In December Halifax gives the average UK house price at £168,763, and on
2 December our quote for March is 168.7 – 170.7. You are unsure whether the rise will continue and decide to play it safe, 'selling' £1000 per point at 168.7 to close.

The result

Profit: 3.2 x £1000 per point = £3200

Remember of course that if the market had moved against you, you may have lost more than your initial deposit.