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

abaxas

chucky wrote: »

according to this there is a demand for homes and more need to be built
http://england.shelter.org.uk/news/august_2009/call_for_more_housebuilding


http://england.shelter.org.uk/housing_issues/the_housing_crisis

I cant work out of we are arguing or agreeing here. I think the latter due to this "There simply aren’t enough decent, affordable homes.".

chrishoar

chucky wrote: »

according to this there is a demand for homes and more need to be built

You see this is where the whole argument falls down, on the one hand you have Spiv saying there is plenty of money about, on the other hand you have shelter saying there are many houses in crises struggling to pay rent or mortgage. The "lack of affordable homes" is applicable atm, but the market will correct that. There will be a glut of buy to let up for sale which will push the market down, people not being able to afford the rent that would cover the landlords mortgage etc. That is just one aspect, then there are those that will not be able to hold on to their homes due to redundancy etc. We are at the start and no amount of denial will change it, the market will fall, ive yet to see an argument that does not support this, even when people are arguing it will rise

chucky

abaxas wrote: »

I cant work out of we are arguing or agreeing here. I think the latter due to this "There simply aren’t enough decent, affordable homes.".

depends what you define affordability as.

it seems that 70% of UK property is owner occupied.
they must have found it affordable.

abaxas

Spiv wrote: »

Yes but look at the unoccupied homes. Here is a picture



You can't really really believe there are 700,000 "nice" unoccupied homes in Britain surely?

But equally you cant beleive there are 24.7 million nice occupied homes too. I've been to some horrible estates over the years, the above picture looks quite nice :rotfl:

Saying that in the village where I live there are 3 unocciped homes out of about 100 houses. Life moves on, people die and their homes move to other people. From the earth back to the earth etc.

Spiv_2

abaxas wrote: »

I cant work out of we are arguing or agreeing here. I think the latter due to this "There simply aren’t enough decent, affordable homes.".

There are more people wanting to buy homes than there are homes and this pushes the price up. Simple.

Spiv_2

chrishoar wrote: »

You see this is where the whole argument falls down, on the one hand you have Spiv saying there is plenty of money about, on the other hand you have shelter saying there are many houses in crises struggling to pay rent or mortgage. The "lack of affordable homes" is applicable atm, but the market will correct that. There will be a glut of buy to let up for sale which will push the market down, people not being able to afford the rent that would cover the landlords mortgage etc. That is just one aspect, then there are those that will not be able to hold on to their homes due to redundancy etc. We are at the start and no amount of denial will change it, the market will fall, ive yet to see an argument that does not support this, even when people are arguing it will rise

But if your arguments were right then house prices would be falling but house prices are rising ergo your arguments must be wrong. No matter how much you believe in them.

chrishoar

Spiv wrote: »

There are people wanting to buy homes than there are homes and this pushes the price up. Simple.

Wrong, there are very few homes up for sale because people are in denial about the falls or are simply trapped in negative equity.
Prior to this the housing market bubble was fueled by the wholesale money markets that are no more.

Spiv_2

chrishoar wrote: »

Wrong, there are very few homes up for sale because people are in denial about the falls

What falls? House prices are rising.

chrishoar

Spiv wrote: »

But if your arguments were right then house prices would be falling but house prices are rising ergo your arguments must be wrong. No matter how much you believe in them.

Oh dear, and this is why people are suckered into buying at the moment, you cant base values on such historicaly low transacions. Why for insistance do the financial institutions insist on at least 25% Loan to Value for a mortgage, why are there such low levels of transactions?

Spiv_2

chrishoar wrote: »

Oh dear, and this is why people are suckered into buying at the moment, you cant base values on such historicaly low transacions. Why for insistance do the financial institutions insist on at least 25% Loan to Value for a mortgage, why are there such low levels of transactions?

Good on you mate - you hold out for your 50% fall. Courage of your convictions and all that. Got to go...work to do.