Trader training update: Billions 'wiped off' UK housing market in 2008

New research has found that more than £591 billion has been wiped off the UK housing market oner the last year, a sign that trading on the stock market, rather than investing in property, may be a better way to earn extra money during the economic downturn and beyond.

According to property website Zoopla the value of homes has fallen by almost ten per cent, resulting in over two million homeowners succumbing to negative equity.

The average homeowner has also now spends 85 per cent of the money they earn offsetting the loss in the value of their property, reports the Daily Telegraph.

Alex Chesterman, chief executive of Zoopla, said the end of the correction in the housing market was not yet in sight.

"The reality is that some homeowners will face a very tough decision next year, whether to try and ride out further value declines and risk falling into further negative equity or cut their losses and sell before the price drops too far," he said.