Rightmove UP and inflation UP

meanmachine_2

They are unofficial, but the rightmove asking price index is expected to be up by .5% in October (booo!), while inflation is again "expected" to jump to 2.7%.

So both factors point to no change to interest rates before Xmas, and a possible rise after Xmas.

But again a month is a long time in the world of economics, so it could all change in 30 days' time.

Matt83UK_2

So house prices are still on the increase you are claming?, 0.5% up in October is 6% up per year if it continues, rising 3.3% ahead of inflation per year.

In other words if you have you eye on a house that's 120k, its rising £600 per month in theory, £20 per day. Don't sleep on it.. tis will be an expensive night.

Almost_Redundant

I think the key words here are "asking price". Agents getting hopefull again. What would really be interesting is the actual selling price index. Too many agents out there now chasing too few properties. Only those who really need to sell will do so, the same for buyers.

Anybody noticed any agents folding or joining forces yet? It'll happen, sooner or later.

meanmachine_2

Matt83UK wrote:

So house prices are still on the increase you are claming?, 0.5% up in October is 6% up per year if it continues, rising 3.3% ahead of inflation per year.

In other words if you have you eye on a house that's 120k, its rising £600 per month in theory, £20 per day. Don't sleep on it.. tis will be an expensive night.

You could look at it that way, just as you could look at the recorded falls in sales prices in the south east as a "saving" of over 5K.

But you seem to miss the second point - that interest rates aren't coming down and are likely to be going up, like they are in the states, to counteract booming inflation there.

I must confess, it's a very confused picture at the moment.

mystic_trev

I believe houseprices are still very robust in the Northwest of the Country, which follows fairly well the track up to the last House price crash. I'm not all "doom and gloom" though. I do think we're due for a "correction" of at least 20% But as I've said before this only takes the "froth" off the market i.e One years increase. I notice in the Southeast (where I live) prices have dropped by an average of 8% but nobody wants to believe it!