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G0ldfinger

UK House prices: News & Views

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Oh yes, annecdotals say a massive oversupply of properties about to hit the market.

 

Bank of Mum and Dad seems to be generally out of funds.

 

Election uncertainty on the horizon.

 

Transaction levels up from miserable levels but probably about to tank.

 

Problem is when you talk to Estate Agents they seem utterly clueless.

 

I recently asked one why they continually over valued the products they are selling so they become unafordable to most and didn't try to make sure their shelves were full of affordable products.

 

Blank stare it seems they don't understand that they are retailers. They all deserve to fail for being so stupid.

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Oh yes, annecdotals say a massive oversupply of properties about to hit the market.

 

Bank of Mum and Dad seems to be generally out of funds.

 

Friend (one of those people who think property can only go up) is looking for a flat to buy in London. He takes interest in a new development being built in a nice area with plenty of tall buildings, and asks the agent.

 

The agent tells him she does not know when the development will be completed cos the bank does not want to lend.

 

Friend comes to me in utter disbelief and I chuckle ^^

 

Just wait for the general election to pass.

 

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Why bash my peers :blink:

Why are you bashing your peers?

 

Maybe I am miss reading your post. This is how I am interpreting your post

 

All working class people see invalidity benefits as the ‘mini-lottery’

...

 

Mr Invalid maybe one of the latest ‘stressers’ or just one of the others that have won the ‘mini-lottery’ ticket to invalidity benefits because that is how the working class see them.

...

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Problem is when you talk to Estate Agents they seem utterly clueless.

I recently asked one why they continually over valued the products they are selling so they become unafordable to most and didn't try to make sure their shelves were full of affordable products.

Blank stare it seems they don't understand that they are retailers. They all deserve to fail for being so stupid.

"Competition" drives them to to that.

Normally the EA that values the property most highly gets the instruction

 

 

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"Competition" drives them to to that.

Normally the EA that values the property most highly gets the instruction

A great strategy in a rising market. But not anymore advertsing and filling shelf space with unsaleable products is a sure fire way to go broke.

 

Estate agents in the UK are so divorced from the fundamentals affecting their market it has to be done for them forced sellers ahoy!

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unless they have sellers then they definitely dont have a business and they are after all working for the sellers. i mean check out this 'must view' property

 

http://www.taylorsestateagents.co.uk/pdf.p...sTYW-KIW090405-

I wonder how much my business selling a dime bar for a million dollars is worth? ;)

 

You can't beat a good chicken and egg circular discussion on a sunday afternoon!

 

Ideally a seller and buyer who are in agreement would be ideal

 

Offers in the region of 99k for a brick prisonboxexecutive boxhousebox its truly ghastly I bet its also in the dodgiest part of town.

 

 

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What is the "mean", please? The HPC liny thingy is some sort of exponential regression, they call it "trend". You could come up with almost anything for such a line. It is meaningless because it it is mere stats that ignores the fundamentals behind this move.

 

Yes thanks GF- I didn't notice the 2.9% yearly increase for the exponential line on the HPC graph

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Why are you bashing your peers?

 

Maybe I am miss reading your post. This is how I am interpreting your post

The All is your inflection and not mine.

 

I wasn't bashing, I was stating how situations are perceived by others especially the situation Riggers was discussing, and I was trying to put forward the view from the other side.

 

The banker at the upper end of the scale sees the right to a bonus, the cleaner at the bottom sees the right to cream the system at the other end using invalidity benefit. Bizarrely, both now seem to be funded by the tax system :blink:

 

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The All is your inflection and not mine.

 

I wasn't bashing, I was stating how situations are perceived by others especially the situation Riggers was discussing, and I was trying to put forward the view from the other side.

 

The banker at the upper end of the scale sees the right to a bonus, the cleaner at the bottom sees the right to cream the system at the other end using invalidity benefit. Bizarrely, both now seem to be funded by the tax system :blink:

I don't think you want a multi-page slanging match any more than I do. I'll end by putting forward my own view from the other side:

 

Working class people are happiest when they are able to take home an honest days pay for an honest days work. [insert house price / salaries ratio comment to keep post on topic]

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Is that a garage that has been converted into a "house" :blink:

"Benefits include under floor heating, double glazing and off street parking."

 

Off street parking... within the living room, just move the sofa

 

A snip at Pds.100,000.

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"Benefits include under floor heating, double glazing and off street parking."

 

Off street parking... within the living room, just move the sofa

 

A snip at Pds.100,000.

I thought as garage tidy-ups go, they did a very good job.

 

I'm inspired to tidy up my own garage now!

 

How in hell did they get planning permission to do that?

 

If I was in Bristol, I would go and view it though, if only to kill some time.

 

'Must view' :lol: Indeed seeing is believing.

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How in hell did they get planning permission to do that?

If I was in Bristol, I would go and view it though, if only to kill some time.

'Must view' :lol: Indeed seeing is believing.

LOL.

did they mention planning permission?

perhaps it is being sold as a garage, with the headache going to the new owner

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I don't think you want a multi-page slanging match any more than I do. I'll end by putting forward my own view from the other side:

 

Working class people are happiest when they are able to take home an honest days pay for an honest days work. [insert house price / salaries ratio comment to keep post on topic]

You are correct, I also have no wish to for a slanging match and I understand your honesty statement and will end with this thought “Offered money for nothing would the majority of people take it”

 

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I give these morons a year max. before they start to monetize/print again.

 

http://www.bloomberg.com/apps/news?pid=206...G7WMs&pos=1

Fed May Take Chance End to Debt Purchases Won’t Hurt Housing

...

Jan. 27 (Bloomberg) -- The Federal Reserve may take a chance the housing market can stage a comeback without its support by announcing today it will stick to the plan to end a $1.25 trillion program of mortgage-debt purchases in March.

The-Second-Wave-Of-Mortgage-Default.jpg

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House prices make a strong start to 2010

 

House prices rose by 1.2% in January and are up 8.6% year-on-year

 

Commenting on the figures Martin Gahbauer, Nationwide's Chief Economist, said:

“House prices strengthened their upward momentum at the start of 2010, increasing by a seasonally adjusted 1.2% month-on-month in January. The 3 month on 3 month rate of change – usually a smoother indicator of the near term trend – dipped slightly from 2.3% in December to 2.1% in January, but this primarily reflects the smaller price increases recorded in November and December. At £163,481, the average price of a typical UK property cost 8.6% more than a year earlier in January, up from 5.9% in December. Unless there is a fall in property values in February, annual house price inflation is likely to move into double-digit territory next month for the first time since May 2007.

 

A few questions for y'all:

 

Do folks still see a UK house price crash eclipsing that of the 1990s?

 

Does Dr B still see UK house prices hitting an average of 100k? (i.e. a near 40%!! drop from here.)

 

Or will QE and extended low rates put a bottom in nominal house prices. Please note nominal. Does sterling have to crash for this to happen?

 

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Some small crumb of comfort for those who have sold to rent present in the above piece:

 

downward pressure on inflation may not actually be as strong as predicted. If this is the case, then higher interest rates may be required sooner than is widely assumed.

 

Surely: Higher rates = lower house prices

 

 

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Some small crumb of comfort for those who have sold to rent present in the above piece:

 

 

 

Surely: Higher rates = lower house prices

With inflation picking up prices will go down. I still think that the only reason that prices have gone up is due buyers being offered a better house for their money. I wish that UK houses were sold on sq ft rather than just flat, terrace, semi, det, etc

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With inflation picking up prices will go down. I still think that the only reason that prices have gone up is due buyers being offered a better house for their money. I wish that UK houses were sold on sq ft rather than just flat, terrace, semi, det, etc

 

With the pokey nature of new-builds it's hard to disagree with this, but it seems to represent a revolutionary mode of thinking: the shift to selling property by sq ft would probably only be acceptable to the masses after a substantial correction. But then we do keep hearing of a second shock to the system, double dip recession etc.

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Do folks still see a UK house price crash eclipsing that of the 1990s?

 

Does Dr B still see UK house prices hitting an average of 100k? (i.e. a near 40%!! drop from here.)

 

Or will QE and extended low rates put a bottom in nominal house prices. Please note nominal. Does sterling have to crash for this to happen?

Very difficult & all political. That's why I never gave much about nominal prices and prefer to look at ratios only. But my guess would be that we will see substantial further drops before RPI takes off for good.

 

http://gold.approximity.com/since1999/UK_H...ces_in_Gold.htm

UK_House_Prices_in_Gold.png

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I wish that UK houses were sold on sq ft rather than just flat, terrace, semi, det, etc

People don't prefer rational things here in the UK. Just take the metric system.

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People don't prefer rational things here in the UK. Just take the metric system.

:lol:

 

Yes, rational thought is hard to find in the UK, for example, why on Nov 5th do we celebrate the failure of someone to blow up politicians.

 

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