Low interest rates will support house prices until 2014

ess0two

Whats done is done,it'll happen again no doubt,but we'll all be older and wiser.

HammerSmashedFace

the_ash_and_the_oak wrote: »

Well its certainly interesting - there are many that think without the US situation there would have been no crash (and they will say "prices are back to similar levels now so there can't have been much wrong with the UK"). If there had been no US problems when do you think the UK market would have turned down?

I think the indices are a red herring at the moment, the market is no way normal and by that I mean nothing like the last 30+ years, transactions are half what they were even in the last crash.

When would things have gone pear shaped here without the US probs ??, not long after they did IMO, prices can't go up 3x more than wages had done in a decade without TSHTF.

the_ash_and_the_oak

HammerSmashedFace wrote: »

I think the indices are a red herring at the moment, the market is no way normal and by that I mean nothing like the last 30+ years, transactions are half what they were even in the last crash.

When would things have gone pear shaped here without the US probs ??, not long after they did IMO, prices can't go up 3x more than wages had done in a decade without TSHTF.

I dunno - you said yourself there was a huge rise 2001-2004 - why not then? (is the answer really a 0.25% cut in 2005?). I think it would have happened without the US crunch but I wouldn't like to guess at when it would have been

Cleaver

the_ash_and_the_oak wrote: »

20 year old should put more attention into getting into an exciting career and fcuking loads of girls imo instead of worrying about a house

Swap 'getting into an exciting career' for 'getting really good at FIFA 2001 for the Playstation 2' and that pretty much sums me up as a 20 year old.

I was more successful at the FIFA side of things than the ladies if I remember rightly.

Really2

Cleaver wrote: »

I was more successful at the FIFA side of things than the ladies if I remember rightly.

At least you had some strong thumbs though.

IveSeenTheLight

HammerSmashedFace wrote: »

He one look at that Nationwide house price graph would suggest the proof is irrefutable.

Totally agree.
One look at the Nationwide house price graph shows that on average house prices went approx 20% above the long term trend.

The same look at the graph shows that prices corrected to that long term trend

Currently it is only slightly above the trend line, but it is likely over the winter period that this will self align.

It's unlikely to happen but wouldn't it be nice for a bit of stabalisation and for house prices to follow the long term trend?

pawpurrs

I agree that would be a good result for most, if house prices remained stable and followed the line of inflation, but will they ever.

the_ash_and_the_oak

its more interesting when they go up and down in sharp movements tho imo