IMF forecasts long housing slump

ad44downey

It makes perfect sense - Boom followed by one almighty Bust. The 'worst' for the housing market has yet to come.

Who are you going to believe? The IMF or Laurel and Hardy (aka Clown/ Darling)?

Graham_Devon

ad44downey wrote: »

It makes perfect sense - Boom followed by one almighty Bust. The 'worst' for the housing market has yet to come.

Who are you going to believe? The IMF or Laurel and Hardy (aka Clown/ Darling)?

You missed out estate agents next to the saying "house prices only ever go up".

Seems lots on here seem to believe that fairy tale.

Generali

luvpump wrote: »

The IMF have been consistently more accurate in there Analysis of the u.k situation than most other commentators, & quite obviously better than Darling or Crash Gordon...the bottom line is the u.k Economy is Shafted & so is your Housing Market

Times change. From about 2003-6, Treasury forecasts were consistantly more optimistic and more correct than economist's forecasts.

TBH, the way things are right now is unprecidented. Any quantitive prediction that turns out to be correct is lucky IMO.

ad9898_3

Generali wrote: »

Times change. From about 2003-6, Treasury forecasts were consistantly more optimistic and more correct than economist's forecasts.

Mmmm, but it's all come out in the wash, our entire economic prosperity over the last decade has come almost entirely from taking on more and more debt, and lots more families have had to have two parents going out to work to service that debt, whether they wanted to or not, with the obvious adverse effect on society and the economy when the pyramid scheme finally fails.

Generali

ad9898 wrote: »

Mmmm, but it's all come out in the wash, our entire economic prosperity over the last decade has come almost entirely from taking on more and more debt, and lots more families have had to have two parents going out to work to service that debt, whether they wanted to or not, with the obvious adverse effect on society and the economy when the pyramid scheme finally fails.

Well their predictions were about growth and taxes for the following couple of years. Most people, economists or otherwise, managed to miss the current chaos entirely.

the_ash_and_the_oak

The IMF are anything but impartial and are a pretty dubious organization imo - who are they really meant to serve? Nation States or the Western Multinationals that operate in them?

That said, don't really disagree with their outlook on UK

jojo1964

The housing market, as has been mentioned before, is a small part of our economy, or should i say has a small impact on our economy.

Regardless of how many lose their jobs people still have to live somewhere, and somebody has to supply the housing, now if 10% are unemployed it simply means that 90% are employed, and can still afford to buy property at realistic prices, combine that with record low interest rates and the predicted increase in population, and it adds up to only one thing, prices continuing to climb in the long run, short term there may be a correction in prices, but give it another couple of years and watch the prices start to climb, as long as interest rates remain low.

the_ash_and_the_oak

jojo1964 wrote: »

The housing market, as has been mentioned before, is a small part of our economy, or should i say has a small impact on our economy.

Regardless of how many lose their jobs people still have to live somewhere, and somebody has to supply the housing, now if 10% are unemployed it simply means that 90% are employed, and can still afford to buy property at realistic prices, combine that with record low interest rates and the predicted increase in population, and it adds up to only one thing, prices continuing to climb in the long run, short term there may be a correction in prices, but give it another couple of years and watch the prices start to climb, as long as interest rates remain low.

maybe if they keep the interest rates low forever prices could rise forever?

StevieJ

ad9898 wrote: »

Mmmm, but it's all come out in the wash, our entire economic prosperity over the last decade has come almost entirely from taking on more and more debt, and lots more families have had to have two parents going out to work to service that debt, whether they wanted to or not, with the obvious adverse effect on society and the economy when the pyramid scheme finally fails.

You must have been lucky as both my parents had to work, in fact both my grandparents had to work as well.
BTW your statement 'our entire economic prosperity over the last decade' is a load of !!!!!!!!

the_ash_and_the_oak

also kinda feeling theres a lot of places to live in UK imo. not really feeling this population increase point so much either - think changing demographics are a bigger factor tbh - with an increasing % of popn above pensionsable age. think that will be pretty pricey - supporting the over 70s prob take up a larger slice of taxes imo