MSE News: Halifax: House prices up again in August (+0.8%)

Harry_Powell

Graham_Devon wrote: »

You know, I'm not sure.

Just cannot stand this "everythings fine, people can afford houses, they are more affordable now than ever" scenario Hamish keeps pumping out daily on several brand new threads and on nearly every thread you go on.

Why do you care, IIRC you already have a house, so why do you get so upset if people try to talk up their prices?

Serious question Graham, I'm not having a go, I'm just interested.

HAMISH_MCTAVISH

Graham_Devon wrote: »

You know, I'm not sure.

Just cannot stand this "everythings fine, people can afford houses, they are more affordable now than ever" scenario Hamish keeps pumping out daily on several brand new threads and on nearly every thread you go on.

Actually Graham, what I repeatedly point out is that not all people can afford houses, but enough can that prices will rise, particularly given the fact that 250,000 households are being formed a year, but only 80,000 houses are being built a year.

If you add a city the size of Manchester to the UK every year, and only build enough houses for a city the size of Aberdeen, what on earth do you think will happen to prices?

the_ash_and_the_oak

HAMISH_MCTAVISH wrote: »

Actually Graham, what I repeatedly point out is that not all people can afford houses, but enough can that prices will rise, particularly given the fact that 250,000 households are being formed a year, but only 80,000 houses are being built a year.

If you add a city the size of Manchester to the UK every year, and only build enough houses for a city the size of Aberdeen, what on earth do you think will happen to prices?

i'd expect rents to rise significantly (esp in London)

Graham_Devon

Harry_Powell wrote: »

Why do you care, IIRC you already have a house, so why do you get so upset if people try to talk up their prices?

Serious question Graham, I'm not having a go, I'm just interested.

I've said why quite a few times before now.

I guess I should be all cheery that this month I'm a little bit richer. But I'm not. Because my friends are a little bit poorer. My sister is a little bit poorer. My children are a little bit poorer. And because they are a little bit poorer, someone else is a little bit richer, someone who owns houses as investments who are feeding off them to create their wealth.

To me, me being a little bit richer in asset value, does not make the above any better, or indeed, worth my extra asset value. I would like to see all those people have a chance too.

I have a house. That automatically qualifies me to be in a better position due to HPI than my friends and my sister, and some of my work colleagues. But you know what, I'm not any better than any of them, I just got lucky with this house.

mr_fishbulb

chucky wrote: »

actually housing is getting more affordable.
it's just over the long term average.

Don't think anybody doubts they are more affordable at the moment, but that's only because interest rates are so low. People seem to forget that these are extraordinary times when base rates are at the lowest since the BoE was formed. This temporary reprieve won't last forever.

The best rates open to me as a FTB seem to be a tracker starting way above the base rate, or a discount on SVR. If I took those and rates start to move whilst I'm still locked-in, I'd be :eek:ed in the :eek: very quickly.

inspector_monkfish

Graham_Devon wrote: »

I've said why quite a few times before now.

I guess I should be all cheery that this month I'm a little bit richer. But I'm not. Because my friends are a little bit poorer. My sister is a little bit poorer. My children are a little bit poorer. And because they are a little bit poorer, someone else is a little bit richer, someone who owns houses as investments who are feeding off them to create their wealth.

To me, me being a little bit richer in asset value, does not make the above any better, or indeed, worth my extra asset value. I would like to see all those people have a chance too.

I have a house. That automatically qualifies me to be in a better position due to HPI than my friends and my sister, and some of my work colleagues. But you know what, I'm not any better than any of them, I just got lucky with this house.

so you don't own a house? (or one where you pay a mortgage) ?

i'm confused

Graham_Devon

Christ, I give up.

Bull overload.

chucky

mr_fishbulb wrote: »

Don't think anybody doubts they are more affordable at the moment, but that's only because interest rates are so low. People seem to forget that these are extraordinary times when base rates are at the lowest since the BoE was formed. This temporary reprieve won't last forever.

The best rates open to me as a FTB seem to be a tracker starting way above the base rate, or a discount on SVR. If I took those and rates start to move whilst I'm still locked-in, I'd be :eek:ed in the :eek: very quickly.

and fixing over a long period guarantees that affordability - right?

mr_fishbulb

chucky wrote: »

and fixing over a long period guarantees that affordability - right?

It does. But the fixed rates are rubbish Almost as high as they were before the "crash" started.

chucky

mr_fishbulb wrote: »

It does. But the fixed rates are rubbish Almost as high as they were before the "crash" started.

i don't disagree but a 4.69% fixed over 5 years will look good in 3 years time