MSE news: Nationwide reports largest house price rise for over two years

chucknorris

chucky wrote: »

really?? i thought that you're eating children comment was a extremely strange...

..

Not to mention illegal and probably also against the rules of this forum too. I seem to remember something about Martin taking a very dim view of parents who eat their children, hence all the supermarket/restaurant deals on this website.

nembot

Only posting so I can find the thread in 6 months and laugh.

chrishoar

Ok, let look at the population argument, I think it goes something like this:
We have an increasing population and not enough desirable homes to house them therefore house prices must stay high.
If that were true and the only variables involved then I would agree, unfortunately its a great deal more complicated than that. Price inflation due to supply and demand can only take effect when there is money available to fund that inflation, if people can't get the money then they simply cant buy therefore the presure is downward on price. With the total contraction in the wholesale money markets, the new regulations imposed by the FSA and BofE the days of cheap money are long gone, you cant have something that does not exist. Secondly, the rise of buy to let has taken a lot of properties off the market, this will correct itself because those properties will have to be sold by many at some point so they can hold on to their family homes. Thirdly, contrary to popular belief there is no shortage of property in this country, there maybe a shortage of desirable properties in certain areas of this country but if you believe it covers the entire nation then you have fallen for a very big con trick, you must understand vested interests, estate agents, building societies, even to a degree the press have an interest to perpetuate this. The government will attempt to increase the supply of housing to cope with fluctuations in the future, not because we are desperate now. The idea of "affordable housing" is only relevent in the context of over inflated prices.

Dan:_4

nembot wrote: »

Only posting so I can find the thread in 6 months and laugh.

If it's a laugh you want, have a quick look at some of the posts/threads made 12 months ago.

StevieJ

nembot wrote: »

Only posting so I can find the thread in 6 months and laugh.

See what you mean, I have just retrieved one of yours

Personally, I think we'll see a drop of 30% from November 2007 prices by December 2009 (halfway there in most areas).

If things haven't improved, there's a good chance it hit 40%+ in the following year.

Biggest house price boom ever they said, wouldn't the price drops be relative to the increases? (taking into account inflation obviously).



http://forums.moneysavingexpert.com/showthread.html?p=17317291&highlight=#post17317291

chrishoar

Lastly, if you really want an idea of how risky the housing market is at the moment all you need to look at is the percentage size of deposits mortgage lenders are insisting upon. They are covering themselves for a huge drop.

StevieJ

chrishoar wrote: »

Ok, let look at the population argument, I think it goes something like this:
We have an increasing population and not enough desirable homes to house them therefore house prices must stay high.
If that were true and the only variables involved then I would agree, unfortunately its a great deal more complicated than that. Price inflation due to supply and demand can only take effect when there is money available to fund that inflation, if people can't get the money then they simply cant buy therefore the presure is downward on price. With the total contraction in the wholesale money markets, the new regulations imposed by the FSA and BofE the days of cheap money are long gone, you cant have something that does not exist. Secondly, the rise of buy to let has taken a lot of properties off the market, this will correct itself because those properties will have to be sold by many at some point so they can hold on to their family homes. Thirdly, contrary to popular belief there is no shortage of property in this country, there maybe a shortage of desirable properties in certain areas of this country but if you believe it covers the entire nation then you have fallen for a very big con trick, you must understand vested interests, estate agents, building societies, even to a degree the press have an interest to perpetuate this. The government will attempt to increase the supply of housing to cope with fluctuations in the future, not because we are desperate now. The idea of "affordable housing" is only relevent in the context of over inflated prices.

So they haven't increased since February then, fair enough

chrishoar

You cant have a price increase on such tiny volumes, its bottlenecked to fall

ess0two

chucky wrote: »

how's graham doing? he popped over to hpc.co.uk and has joined the cult... is he ok

Seems he went there to learn something so he said,perhaps he's missed the boat in terms of posting over there.

chucky

nembot wrote: »

Only posting so I can find the thread in 6 months and laugh.

oh dear, not another one of "those people" discredited again...
are you still expecting that 30% drop in the 3 months to December 2009 :T

nembot wrote: »

Personally, I think we'll see a drop of 30% from November 2007 prices by December 2009 (halfway there in most areas).

http://forums.moneysavingexpert.com/showthread.html?p=17317291&highlight=#post17317291

ps. sorry stevie... you got there before me