House price slump over

HAMISH_MCTAVISH

EXPERTS last night hailed the end of the property slump as figures showed house prices rose year-on-year for the first time in 19 months.


Values are now higher than they were a year ago for the first time since the start of the recession, said Nationwide.

A 0.4 per cent rise in October – the sixth consecutive monthly increase – pushed the annual rise to two per cent. Industry observers said the figures were “the final nail in the coffin of the housing downturn”. The last time prices were showing year-on-year growth was in March 2008, just as the economy was sliding into recession, according to Britain’s biggest building society.

There is now no doubt homes will end the year more expensive than they were 12 months ago, confounding gloomy predictions of a 10 to 15 per cent price fall.

There has also been an increase in the number of people putting their homes up for sale as consumer confidence grows, added Nationwide.

Nicholas Leeming, director of propertyfinder.com, said: “It’s official! Positive annual house price growth marks the final nail in the coffin of the housing downturn.

“The recovery will do the wider economy a power of good by boosting consumer confidence".

Sellers who have been holding out until prices recover will now be encouraged to put their homes on the market to help satisfy the huge pent-up demand to move. James Hyman, of property consultants Cluttons, said: “This is excellent news for sellers, though buyers can look forward to the market tipping more in their favour with the increase in the supply of homes for sale over the coming months.” A cocktail of unusual factors seems to have warded off a full-blown housing crash.

Repossessions have risen but are nowhere near the level of the early Nineties. This is partly because banks, under pressure from the Government, have been more sensitive in how they handle customers in arrears.

I do so enjoy a good news day.....:beer:

dopester

Can feel myself going insane...

Worst financial crisis in living memory and Hamish has months and months of house prices going up.

Those times are coming to an end Hamish, imo.

Cleaver wrote: »

Okay, so take this place as an example of what we're seeing all over Manchester:

3-bed Semi in Prestwich. It's on for £200,000.

Wookster

HAMISH_MCTAVISH wrote: »

I do so enjoy a good news day.....:beer:

Do you have a brain Hamish or can you only regurgitate snippets of news?

tommy75

dopester wrote: »

Very clever!

julieq

Wookster wrote: »

Do you have a brain Hamish or can you only regurgitate snippets of news?

Feel free to add a similar comment to

http://forums.moneysavingexpert.com/showthread.html?p=26455039&posted=1#post26455039

many thanks.

macaque_2

HAMISH_MCTAVISH wrote: »

I do so enjoy a good news day.....

Hamish, thanks for this post. I immediately passed it to the 70% team for scrutiny. Here is their report.

The item kicks off with a very positive statement as follows:

"EXPERTS last night hailed the end of the property slump as figures showed house prices rose year-on-year for the first time in 19 months."

This is surprising because the fundamentals would suggest that the housing slump has barely started. So who are the experts in the article?

"Values are now higher than they were a year ago for the first time since the start of the recession, said Nationwide."

"Nicholas Leeming, director of propertyfinder.com, said: “It’s official! Positive annual house price growth marks the final nail in the coffin of the housing downturn."

"James Hyman, of property consultants Cluttons, said: “This is excellent news for sellers, though buyers can look forward to the market tipping more in their favour with the increase in the supply of homes for sale over the coming months.”

Peter Bolton King, of the National Association of Estate Agents, said: “The good news about Nationwide’s figures is not just the rise in house prices but the suggestion that sellers are coming back into the market.

"And David Smith, of property consultancy Carter Jonas, said: “With house prices higher than a year ago, now could be a window for sellers to achieve a price for their property that would have been unthinkable in the spring."

So there we have it, a collection of contributors with a string of convictions for spin.

If it is intelligent analysis you want, you will have to go to the readers comments below the article. In the interests of balance and fairness I have shown all them as currently posted.

And savers have paid the price to maintain false house values.
Labour will certainly not be getting my vote,

So the title "House Prices Slump is Over" is based on the view of what, one - ahem - professional. As all the others seem to imply prices could head further south. Oh well anything for a headline eh!

“The recovery will do the wider economy a power of good by boosting consumer confidence" It will do more harm you numptie. The higher the price, the more wealth is locked into bricks and mortar. That's less wealth available for investment, jobs and spending on other things.
From an economic view, houses should be as cheap as possible.
It was house prices that brought about this credit crunch.

The housing slump is not over. It's only on hold while Brown engineers a fake economy up to the election. This thing has to unwind and prices will drop off a cliff in the not too distant future.
They talk about experts. I've read no end of drivel from so called experts.
Houses can drop a lot. Today's prices are way above build costs plus something sensible for the land.
The Halifax figures (which I prefer) are still way down on the Nationwide.

Graham_Devon

HAMISH_MCTAVISH wrote: »

I do so enjoy a good news day.....:beer:

I know, look at that, free chocolates!

ruggedtoast

Considering the average DE reader will probably not see the end of the negative equity they are in this side of 2050, its not surprising the papers editors use this stuff to sell copy.

Readers would be better off putting the 50p towards their mortgages imo.

the_ash_and_the_oak

ruggedtoast wrote: »

Considering the average DE reader will probably not see the end of the negative equity they are in this side of 2050, its not surprising the papers editors use this stuff to sell copy.

Readers would be better off putting the 50p towards their mortgages imo.

Considering the age of the average Daily Express reader is about 63 I doubt this!

ruggedtoast

Nursing home fees thenn

fc123

dopester wrote: »

Can feel myself going insane...

Worst financial crisis in living memory and Hamish has months and months of house prices going up.

Those times are coming to an end Hamish, imo.

You OK DS?
Is that Cleavers new house?

PS; How did you make a mini movie?