Repos up a staggering 92% iYear on Year

1echidna

Really2 wrote: »

It should give enough money to recapitalize them to 2007 levels.
They were highly geared and pherhaps lesson learnt?

But I think Trillions to much would be needed to cause hyper inflation.

But give me 5% inflation over 5% deflation.
It would cost £25,000,000,000 to add just £1000 to each property in the UK that gives some idea how much would need to be created for hyper inflation to be created over the whole economy.

I think the figure quoted to recapitalise the banks is around £87Bn

We will just have to see how this pans out. If house prices fall say 20% in 2009 and more bns are needed to capitilise the banks and the floodgates open a bit with lending perhaps 5% inflation would be possible and might change the psychology of the property market by mid 2010.

WTF?_2

Really2 wrote: »

God:mad:

It as nothing to do with prices it is the market conditions.

The market conditions are very bad to sell (Repos, Recession ,lack of mortgages, prices falling so buyers avoidind buying) are you really that far up your own @ss you cannot see that.

Calm down - you just look silly. And I can do without the personal insults.

You seem to be taking this all rather personally - are you perhaps in a position where you need to sell and can't get the price you need?


You should remember that the majority of people out there will continue to have equity in their homes even with a hefty fall in prices (which were grossly inflated in the last few years) and the market will go on, regardless, for much the same reasons that people have always bought or sold houses. Bad market conditions for sellers or not.

Sorry the market is not driven by just need I would say it is a fairly even split between need and want.
Last year was want & Need
This year will be Need and Repos.

Do you have any figures to substantiate an equal split or are you just freaking out and throwing insults at me because of an idea you made up in your head?:rotfl:

dopester

mbga9pgf wrote: »

Repos up a staggering 92% iYear on Year

http://news.sky.com/skynews/Home/Business/Repossession-Of-Homes-Soar-According-To-The-Financial-Services-Authority-said/Article/200901415208432?lpos=Business_Top_Stories_Header_2&lid=ARTICLE_15208432_Repossession_Of_Homes_Soar_According_To_The_Financial_Services_Authority_said

Not good news.

Prices are about to collapse.

Of course in fantasy-land, it won't have much impact on asking prices or values - as those who do not need to sell will not sell, just sit it out, and tell themselves their home is worth peak July 2007 price as the rest of the market crashes.

From The Times
January 23, 2009

A home repossessed every ten minutes as mortgage misery reaches new depths

James Charles

One house was repossessed every ten minutes in the third quarter of last year as the rate of seizures almost doubled, the Financial Services Authority said yesterday. The City regulator said that 13,616 homes were repossessed in the three months to September last year, a 92 per cent rise on the third quarter of 2007.

There was also a rise in the number of homeowners in arrears, indicating that hundreds of thousands of borrowers could lose their homes.

The FSA said that 340,000 borrowers were behind on mortgage repayments, a 10 per cent rise compared with the previous quarter of last year and a 24 per cent rise on the same period in 2007.

Adam Sampson, of Shelter, the housing charity, said: “These figures show just how difficult and miserable 2009 will be for British homeowners. We are engulfed by a housing crisis worse than the 1990s crash.”

more...

mbga9pgf

1echidna wrote: »

The trick is judging how much of the money the govt gives for those dodgy assets finds its way into the wider economy in the form of real cash they lend out. It is here that the need for mopping up may arise.

Thats why they are bringing in legislation regards maximum lending for banks.

Or at least, one of the reasons.

Dithering_Dad

mbga9pgf wrote: »

Wait and see!

If you have an expensive X5 on costly finance, do you stick with it when money is tight or do you downsize?

Have a look in your local 4X4 dealership and see what I mean.

Exactly the same concept.

Dunno if anyone has addresses this comment as I have only just started reading the thread. Apologies in advance for any duplications.

The trouble with this comparison is that it is much easier to sell a car than to sell a house and while a brand new, top of the range 4x4 driver can get away with driving a 10 year old mini a large family of 4 cannot get away with living in a 1 bed studio.

Most home owners will be stuck with a redemption clause in their mortgage that could amount to anything upto £10k (my own is about £6k I believe), coupled with the costs of moving (solicitors fees, estate agent fees, arrangement fees, removal costs, etc) and given that they will have already paid an arrangement fee on their current mortgage, I just don't see it being economically viable for people to downsize merely because of the current economic conditions.

I was looking at buying a larger house a few years ago but worked out that it would have cost us about £10k in fees and taxes before we even started. In the end we decided to stay put and use the £10k (plus a bit more) to extend our current house.

I would imagine that rather than go to all that expense and stress and possibly end up not that much better off, people would be more likely to change their mortgage to interest only, take payment holidays, or even MEW some money out of the equity (if they have any) in order to pay their mortgages. If people MEWed the £10k off their mortgage that they will lose anyway from moving, they could keep the mortgage paid for well over a year, especially if it is interest only.

As people have pointed out already, in a HPC, the property ladder rungs start getting closer together. Unless you are prepared to drop several rungs (i.e. from a 4 bed house in a nice area to a 2 bed terrace in a dangerous area, the cost benefits are simply not there.

Really2

!!!!!!? wrote: »

Calm down - you just look silly. And I can do without the personal insults.

You seem to be taking this all rather personally - are you perhaps in a position where you need to sell and can't get the price you need?


You should remember that the majority of people out there will continue to have equity in their homes even with a hefty fall in prices (which were grossly inflated in the last few years) and the market will go on, regardless, for much the same reasons that people have always bought or sold houses. Bad market conditions for sellers or not.




Do you have any figures to substantiate an equal split or are you just freaking out and throwing insults at me because of an idea you made up in your head?:rotfl:

Do you have any figures to say the market is just based on need?:rotfl: (I have clearly shown the number of propertys coming on the market as droped by half compared to this time last year)

Unlike you !!!!!! I have actualy brought and sold for the whole of my career. (Started in 1991, even technology through the dotcom years)
So unlike you sitting spouting stuff I think might be true like yourself I actualy do it for a living.
So although people may still move they are mainly forced in times like this.
If people still need to move why are transactions still falling and less houses coming on the market? In your eyes this should be no different recession or not (dont do the old liquidty one either as many have said on here it is OK for most:rolleyes: and that would not affect the number of new houses coming on the maket) .

So !!!!!! if you could enlightment me on your negotiating skills rarther than buying some gold off a computer screen once I would be very interested.(I belive you work in IT for a council)
Untill that point it is you making up ideas in their head as I am actualy speaking from experience.

As for the bold bit I have taken nothing personaly other than people telling me somthing compleatly stupid as I BUY AND SELL FOR A CAREER AND WANT HAS ALWAY PLAYED A PART IN EVERY ASSET MARKET.(That is why in a recession demand, and sales fall as people want less and make do more. Can you not see that it is in front of your face look at the GDP figures)

It is you saying somthing personal also (oooh you have a house you must need to sell:rolleyes: . Grow up I dont need to justify how better off I am than you but if you care to state your financial possision I will do the same if you like. If it is that important to you.:rolleyes: )

WTF?_2

Really2 wrote: »

Do you have any figures to say the market is just based on need?:rotfl: (I have clearly shown the number of propertys coming on the market as droped by half compared to this time last year)

Unlike you !!!!!! I have actualy brought and sold for the whole of my career. (Started in 1991, even technology through the dotcom years)
So unlike you sitting spouting stuff I think might be true like yourself I actualy do it for a living.
So although people may still move they are mainly forced in times like this.
If people still need to move why are transactions still falling and less houses coming on the market? In your eyes this should be no different recession or not (dont do the old liquidty one either as many have said on here it is OK for most:rolleyes: and that would not affect the number of new houses coming on the maket) .

So !!!!!! if you could enlightment me on your negotiating skills rarther than buying some gold off a computer screen once I would be very interested.(I belive you work in IT for a council)
Untill that point it is you making up ideas in their head as I am actualy speaking from experience.

As for the bold bit I have taken nothing personaly other than people telling me somthing compleatly stupid as I BUY AND SELL FOR A CAREER AND WANT HAS ALWAY PLAYED A PART IN EVERY ASSET MARKET.(That is why in a recession demand, and sales fall as people want less and make do more. Can you not see that it is in front of your face look at the GDP figures)

It is you saying somthing personal also (oooh you have a house you must need to sell:rolleyes: . Grow up I dont need to justify how better off I am than you but if you care to state your financial possision I will do the same if you like. If it is that important to you.:rolleyes: )

You really have lost your composure - why are you getting so irrational about this?

Really2

!!!!!!? wrote: »

You really have lost your composure - why are you getting so irrational about this?

Because a simple statment saying less people will want to sell unless forced during a recession (and giving countless reasons why)

Turns in to.

Why is it all about profit, (it's not)
It won't stop prices falling,(I f'ing know that)
You are most probably a forced seller.(:rolleyes: )
Talking up the market etc etc.(:rolleyes: )

To tell you the truth I am sick of it.
I am trying to make a statment based on my exeprience of my profession and from being a home owner and knowing many others I don't know anyone who is going to trade up or down in a recession (as most see it as madness)

But as usualy i get a load of people telling me recession or not it will be the same.
From where I am standing it's not true and from the look of the economy it aint true. (people are tighetning in spending and making do where they can)
But belive what you wan't, my kind of view should be helpfull but as usual the people who don't want to hear it rail road the post.

WTF?_2

Really2 wrote: »

Because a simple statment saying less people will want to sell unless forced during a recession (and giving countless reasons why)

Turns in to.

Why is it all about profit, (it's not)
It won't stop prices falling,(I f'ing know that)
You are most probably a forced seller.(:rolleyes: )
Talking up the market etc etc.(:rolleyes: )

To tell you the truth I am sick of it.
I am trying to make a statment based on my exeprience of my profession and from being a home owner and knowing many others I don't know anyone who is going to trade up or down in a recession (as most see it as madness)

But as usualy i get a load of people telling me recession or not it will be the same.
From where I am standing it's not true and from the look of the economy it aint true. (people are tighetning in spending and making do where they can)
But belive what you wan't, my kind of view should be helpfull but as usual the people who don't want to hear it rail road the post.

I already said that the speculative element will be taken out of the market and agree that volumes will shrink.

However, the thrust of what you were implying was that people would simply not sell and the only sales would be forced sales. Why? Because prices were not as good as they were at the peak so no-one would sell.

That is rot - death, divorce, career moves, personal circumstances etc. will continue to drive the core market. There will be plenty of people who sell up a property they inherited or sell to move somewhere else in the country, or dispose of a house after divorce or even someone eyeing up a bigger/nicer house as they now are more affordable as the steps on the ladder get closer.

Really2

!!!!!!? wrote: »

However, the thrust of what you were implying was that people would simply not sell and the only sales would be forced sales. Why? Because prices were not as good as they were at the peak so no-one would sell.

That is rot - death, divorce, career moves, personal circumstances etc. will continue to drive the core market. There will be plenty of people who sell up a property they inherited or sell to move somewhere else in the country, or dispose of a house after divorce or even someone eyeing up a bigger/nicer house as they now are more affordable as the steps on the ladder get closer.

A complete lie I never even said or implyed that.

I have said due to the market condition, poor credit, Repos, insecurity, costs, recession etc etc etc. (this makes it a very bad time to sell anything even worse for a house as the taxes and costs of moving are so high)

Death, Divorce, loss of Job, Moving for new Job, Repo = FORCED SELLERS (unless people do those for fun?)

So !!!!!! and your merry men you have read what you wanted to belive to make out some one is "Bullish about property"
But I supose it is easier to do that than actualy read what I wrote.:rolleyes: