Respected Analyst : House prices 'could drop another 55%' and leave Britain bankrupt

tirano

IMF Bailout !

http://www.dailymail.co.uk/news/article-1161317/House-prices-drop-55-leave-Britain-bankrupt.html

Decadent_Fool

Ah...well...you can drag up some 'respected analysts' that would say the time has come to buy. Sorry, I just can't be objective about anything in the Daily [Hate] Mail! There's lies, damn lies, and statistics!

crazygaijin

Numis suggests that the average house price - around £160,000 even after recent falls - is over-valued by between 17 per cent and 39 per cent.
It calculates that the average house price should be just £96,000, based on average earnings and the old lending limit of three times salary plus a 25 per cent deposit.

stevetodd

tirano wrote: »

IMF Bailout !

http://www.dailymail.co.uk/news/article-1161317/House-prices-drop-55-leave-Britain-bankrupt.html

A huge comet could smash into the earth and destroy all life. In the days running up to that happening I would not come on the forum, I think the glee from the doom mongers would be too much to bear, they would be loving it.

lynzpower

This has also been reported in the telegraph.

Im no fan of the mail either, but you cant deny news if its widely reported!

The IMF has said that they have no money to bail us out.

whathavewedone

Isn't the Telegraph written by the same people who write the Mail?

mbga9pgf

Yes, but highlight words that are opinion or trotted out garbage in both and the mail will be covered in highlight.

The Telegraph reports the news, but clearly defines which sections are opinion and which are fact. (Letters to the editor etc).

whathavewedone

Listen, I'm not a labour supporter. The pro government propaganda that's being pushed out by the BBC at the moment is getting right up my nose. Eg Jeremy Vine a few weeks ago on Radio 2 doing a piece on how it's great to lose your job, it opens up so many opportunities for you, instead of working in a factory you could become a bestselling novelist! The miners strike stuff put out recently was clearly meant to scare people off voting conservative.

The point I'm making is that a tory paper is clearly going to be publishing the most negative economic forecasts because they want people to feel angry about the current government. If the tories had been in power for the last 11 years the Mail and the Teletgraph would be the ones publishing the positive economic forecasts predicting "green shoots" and the Guardian would be publishing economic forecasts predicting mass repossessions, falling house prices etc.

Yes the Telegraph is a broadsheet but the people who write for it still have an agenda. Just as the writers of the Guardian do.

Radiantsoul

lynzpower wrote: »

This has also been reported in the telegraph.

Im no fan of the mail either, but you cant deny news if its widely reported!

The IMF has said that they have no money to bail us out.

What would an IMF bailout be designed to do?
If the current measures fail entirely then some sort of mass bankrupcty and deleveraging is inevitable. I think this is unlikely but you can calculate the amount that consumption and income would need to fall to return the UK to internal and external equilibrium.
You would be talking about an 8% plus fall in government expenditure and a swing from negative household savings to positive(about 2%)

chucky

tirano wrote: »

IMF Bailout !

http://www.dailymail.co.uk/news/article-1161317/House-prices-drop-55-leave-Britain-bankrupt.html

A respected analyst - which one???

I read it this morning and me me chuckle - Anyone heard of this leading investment bank - Numis Securities???
http://www.metro.co.uk/news/article.html?Britain_heading_for_bankruptcy&in_article_id=577917&in_page_id=34
"House prices could drop a further 55 per cent and Britain is facing bankruptcy, a leading investment bank has warned.

There is 'no prospect' of recovering from the economic meltdown this year and bankruptcy is a 'very real probability', Numis Securities said.

The critical research was sent to hundreds of clients across the world who were considering investing in Britain."

Sorry, another scaremongering attention seeking non-story. keep them coming :rotfl:

Optimist

whathavewedone wrote: »

Isn't the Telegraph written by the same people who write the Mail?

According to Private Eye the Telegraph has got rid of so many staff a lot of their story's now come from the Mail website