Official: Property has risen 6 months in a row & is set to rise by 7% next year!!!

pickledpink

House prices have risen for the 6th month in a row - and look set to rise in London by a whopping 7% next year!

Here's a link to The Times Newspaper.

http://www.timesonline.co.uk/tol/money/property_and_mortgages/article6956613.ece


As the experts have always said - property ALWAYS rises eventually!:money:

bundly

Perhaps people on here will stop telling me NOT to buy-to-let expecting the property to gain value?!?!?!!?

lellow_lorry

Maybe in London, but quite a few regions have and still are seeing falls....but it's like all these predictions......and Right |Move yesterday announced asking prices had fallen by 2.2% this month already. Plenty of conflicting info some say it will rise.....many say expect a fall. Bottom line is property should either be seen as a long term investment or as a home to live in.

rumbaba

bundly wrote: »

Perhaps people on here will stop telling me NOT to buy-to-let expecting the property to gain value?!?!?!!?

Those people telling you that are just hoping that prices will fall so they themselves can get on the ladder. They are hypocrites.

rumbaba

lellow_lorry wrote: »

Maybe in London, but quite a few regions have and still are seeing falls....but it's like all these predictions......and Right |Move yesterday announced asking prices had fallen by 2.2% this month already. Plenty of conflicting info some say it will rise.....many say expect a fall. Bottom line is property should either be seen as a long term investment or as a home to live in.

These aren't just predictions, they are also facts. Property has risen this year six months on the go. London and the south east have anyway.Dunno about the rest of UK.

Bayesian_Roller

People get very emotional about these reports, even though they are to be taken with a lump of salt, at best.

Basically, the demand has been piling up for the past year and a half, and supply has not yet recovered to anywhere near the normal levels. When you add to it the fact that pound is extremely cheap to foreigners, unemployment is on the rise, and the interest rates are being held artificially low until the spring election, the current price movements seem disconnected from the underlying trend. Which is not up.

Cannon_Fodder

The "+7% next year" prediction is from an agent, nothing official about that.

The fact that London and SE are carrying the averages into positive territory can be good for the rest of the country, as more sellers will hopefully come to market if they think they are safe to do so.

Increasing supply will bring a fresh/extra downturn to prices.

Don't have a problem with foolish Londoners overpaying for their assets, while the rest of us still get a bargain.

Gwhiz

Or maybe there will be a drop...

http://www.estateagencytimes.co.uk/news/articles/1743/Nationwide-set-gloomy-house-price-forecast-for-2010.html

stueyhants

rumbaba wrote: »

These aren't just predictions, they are also facts. Property has risen this year six months on the go. London and the south east have anyway.Dunno about the rest of UK.

Saying that the average price of property that has SOLD over the last six months has increased is not the same as saying that same house has increased in value over the last 6 months.

The average selling price is meant to be adjusted to reflect the different mix of house selling (i.e detached versus terrace) but it doesn't take in to account the quality of each of those houses.

Decent house are selling (and fast), house that have problems or are not well presented are not selling or are very slowly and this is having an effect the statisitics. Wether this explains all or part of the suggested rise is open to debate.

bundly

My plan was to invest my savings (built up over 20 years of employment) into a rental property in Hastings and get a better return monthly than I do at present with it in the building society. I'd be in it for the long term, at least ten years, and would also expect that its value would rise in that time.

Gwhiz

bundly wrote: »

My plan was to invest my savings (built up over 20 years of employment) into a rental property in Hastings and get a better return monthly than I do at present with it in the building society. I'd be in it for the long term, at least ten years, and would also expect that its value would rise in that time.

Nothing is guaranteed but as long as there is not another crash just as you want to sell you should be fine!