Debate House Prices


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MSE News: House prices 'to climb further'

Former_MSE_Natasha
Former_MSE_Natasha Posts: 672 Forumite
edited 10 November 2009 at 11:07AM in Debate House Prices & the Economy
This is the discussion thread for the following MSE News Story:

"House prices are expected to continue their climb in the coming month, research shows ..."

Read the full story:
House prices 'to climb further'
OfficialStamp.gif
The threads have been merged to avoid duplication. Thanks to HAMISH_MCTAVISH for the original post.
«13456710

Comments


  • House prices are likely to keep on rising for the time being, says the Royal Institution of Chartered Surveyors (Rics).
    Its latest monthly survey shows that sellers are now beginning to return to the property market.

    But they are still being outweighed by the number of potential buyers registered with estate agents.

    In October the balance of surveyors reporting price rises rather than falls rose to 34%, up from 20% in September.

    Rics said this was the strongest survey result in favour of rising prices since December 2006.

    "Although the supply of property is beginning to pick-up, it is still insufficient to keep pace with the increase in demand which points to further prices gains in the near term," said Jeremy Leaf of Rics.

    "Cheap money remains a critical prop for the market and this is being reflected in the continuing appetite for finance from first-time buyers despite the large deposits still being demanded by lenders," he added.

    Rising prices
    According to surveys from lenders such as the Nationwide and the Halifax, house prices across the UK have been rising briskly since the spring.

    o.gif



    Commentators have explained this by pointing to a dearth of people putting their homes up for sale, even though the number of potential buyers has been restricted since 2007 by the continuing rationing of available mortgages due to the continuing effects of the international credit crunch.

    Rics said London was leading the way in terms of price rises, with a balance of 95% of estate agents in the capital reporting that prices were going up rather than down.

    That was the strongest survey result for London since December 1996.
    The balance of those surveyors across the UK reporting an increase in instructions from would-be sellers has risen from just 5% in September to 15% in October.

    Rics said this upward trend in sales instructions had occurred in all regions, particularly in the North of England, the South West and in London.
    http://news.bbc.co.uk/1/hi/business/8350707.stm

    Oh dear.... Not a good day for the bears.....
    “The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.

    Belief in myths allows the comfort of opinion without the discomfort of thought.”

    -- President John F. Kennedy”
  • Emy1501
    Emy1501 Posts: 1,798 Forumite
    http://news.bbc.co.uk/1/hi/business/8350707.stm

    Oh dear.... Not a good day for the bears.....

    I dont think too many bears are going to be really bothered by a bunch of estate agents telling them prices are going to rise. RICS do not have the greatest of track records on house prices.

    As for the report I notice 15% more suveyors reported increased properties coming up for sale up on the 5% of the previous month. I also notice elsewhere that new registered buyers had fallen for the 4 month in the row. Funny enough though there is no mention by how much.

    Maybe RICS can explain how more properties coming to the market and less buyers registering can lead to continuing house prrice rises?
  • Emy1501 wrote: »
    I dont think too many bears are going to be really bothered by a bunch of estate agents telling them prices are going to rise. ?

    Or a bunch of Surveyors, even...:rolleyes:

    RICS are not an estate agent organisation.;)
    “The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.

    Belief in myths allows the comfort of opinion without the discomfort of thought.”

    -- President John F. Kennedy”
  • Emy1501 wrote: »

    Maybe RICS can explain how more properties coming to the market and less buyers registering can lead to continuing house prrice rises?

    Maybe you can explain why you are in so much denial about price rises?
    “The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.

    Belief in myths allows the comfort of opinion without the discomfort of thought.”

    -- President John F. Kennedy”
  • Emy1501
    Emy1501 Posts: 1,798 Forumite
    edited 10 November 2009 at 7:47AM
    Maybe you can explain why you are in so much denial about price rises?

    Have I ever said I'm denial? Of course prices have risen but I'm asking how they will keep rising based on the fact that more sellers are coming to the market and less buyers are registering?

    Also reading the thread on the housing forum regarding those selling in difficult times there seem to be a fair few struggling to get anywhere with selling their house or flat over the past few weeks and their agents comments seem to contradict the comments from RICS
  • I'm bearish. It doesn't mean I want them to fall imo
    Prefer girls to money
  • Emy1501 wrote: »
    I dont think too many bears are going to be really bothered by a bunch of estate agents telling them prices are going to rise. RICS do not have the greatest of track records on house prices.

    As for the report I notice 15% more suveyors reported increased properties coming up for sale up on the 5% of the previous month. I also notice elsewhere that new registered buyers had fallen for the 4 month in the row. Funny enough though there is no mention by how much.

    Maybe RICS can explain how more properties coming to the market and less buyers registering can lead to continuing house prrice rises?

    If you need a mortgage or remortgage you will not get either without a member of RICS valuing the property. Regardless of how useless you think they are - they are an integral part of the mortgage market. If you are a cash buyer you don't need one - if the house is not sound, it's your own money at risk not someone elses.

    They are not estate agents - they are employed by your lender usually paid for by you.
  • Emy1501
    Emy1501 Posts: 1,798 Forumite
    edited 10 November 2009 at 9:07AM
    Or a bunch of Surveyors, even...:rolleyes:

    RICS are not an estate agent organisation.;)

    Alot of RICS opinions are based on what estate agents tell them ie 95% of estate agents in London reporting house price rises rather than falls and the number of new buyers coming to the market etc.

    Even their basis as to why prices will rise has to be based on what they have been told by agents. How else do they know there are more buyers than sellers and this will not change in the near future?
  • Niche
    Niche Posts: 242 Forumite
    Part of the Furniture
    In October the balance of surveyors reporting price rises rather than falls rose to 34%, up from 20% in September.

    I may be stupid but does that mean 66% were reporting price falls:confused:
  • Emy1501
    Emy1501 Posts: 1,798 Forumite
    edited 10 November 2009 at 8:03AM
    If you need a mortgage or remortgage you will not get either without a member of RICS valuing the property. Regardless of how useless you think they are - they are an integral part of the mortgage market. If you are a cash buyer you don't need one - if the house is not sound, it's your own money at risk not someone elses.

    They are not estate agents - they are employed by your lender usually paid for by you.

    Do you know how many surveyors value a property? Many simply ring round a number of local estate agent and then take an average. before the crash many did not even go inside a property when valuing for mortgae purposes

    Regardless of this even if they are any good does not mean they can predict the future and past experience proves this
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