MSE News: Nationwide: House prices creep up 0.7% in March

HAMISH_MCTAVISH

Doctor_Gloom wrote: »

House prices are still crashing in my local area. .

Of course they are.

Does the nurse realise you forgot to take your medication again?

HAMISH_MCTAVISH

Generali wrote: »

That doesn't seem to be what the article says:
The 1.8% rise is over the quarter whereas the 0.7% rise is month on month from my reading.
.

From the Nationwide report...... http://www.nationwide.co.uk/hpi/historical/Mar_2010.pdf

Average Price:

FEB 2010 £161,320

MAR 2010 £164,519

They actually rose by 1.9%.

The 0.7% figure is seasonally adjusted, ie, 0.7% ABOVE what they expected for the seasonal increase.

Generali

HAMISH_MCTAVISH wrote: »

From the Nationwide report...... http://www.nationwide.co.uk/hpi/historical/Mar_2010.pdf

Average Price:

FEB 2010 £161,320

MAR 2010 £164,519

They actually rose by 1.9%.

The 0.7% figure is seasonally adjusted, ie, 0.7% ABOVE what they expected for the seasonal increase.

Ok, I see your point.

The numbers have to be seasonally adjusted if they are to make any sense on a MoM basis, otherwise you're comparing different things if you believe the time of year has an impact on prices (a viewpoint I think you subscribe to given your many posts associated with Spring Bounces etc).

It's a little disingenuous to say that the increase is above what would be expected. What would be more accurate IMO is to say that prices have risen by 0.7% more than would be the rise in prices that would be consistent with house prices remaining unchanged over a year.

Maybe I'm overcomplicating things though. I'm off to bed. G'night mate!

Alan_Cross

Time, methinks, for the BTL investors to rouse from their slumbers.

We've been here before...

Percy1983

Harry_Powell wrote: »

I really do think it's wonderful that once you buy your most expensive asset (home), that you'll be glad for it to lose value.

No doubt you also buy brand new cars just for the depreciation as they leave the showroom. Needless to say that you then sell these cars at a discount to people who wouldn't have been able to afford them otherwise.

How altruistic you bears are, it quite brings a tear to my eye.

To be honest I am more than happy for prices to go down after I have bought a house.

As you mention everything else I buy is losing money so why not my house?

At what point did I say I want them to fall forever? I think they still need to come down slighly but past that I am happy for them to go up in value slowly in line with everything else making them no less affordable.

I am looking at buying a single property to live in and start a family in, as long as I can afford my mortgage I don't mind what happens, I am not expecting my home to be a 'free money machine' I expect it to be a home.

Eitherway the government can't keep it afloat forever.

DaddyBear

HAMISH_MCTAVISH wrote: »

Ending inheritance tax, giving the next generation even more money to spend on housing. (Tory policy, BTW)

And of course, lot's of work still to be done with ending the mortgage rationing that is stifling the recovery here. If a govt wanted to stimulate housing, they could start by getting an entity they control like the Post Office to offer 90% LTV mortgages.......... as was announced yesterday.:D

I really don't get you Hamish. You seem reasonably intelligent and yet you seem to think these measures are a good idea. Surely it would be best to let Market forces dictate and allow the Market to reach it's natural level. Then we can get on with our lives.

HAMISH_MCTAVISH

DaddyBear wrote: »

you seem to think these measures are a good idea.

What's not to like about reducing inheritance tax or getting the mortgage market moving again?

Not everyone can easily save a 25% deposit, particularly in those areas where rent is actually more than a repayment mortgage.

Surely it would be best to let Market forces dictate and allow the Market to reach it's natural level.

Only if the market forces are themselves "natural", allowing for the market to rise and fall based on real issues like affordability and average income.

What we have now is a wholly artificial situation where mortgages are being rationed, due to a liquidity crisis as banks rebuild their balance sheets. Not to mention a lack of competition amongst lenders pushing rates and LTV's far too high. It's shameless profiteering, and the post office pushing 90% LTV's should get some competition back into the system, reducing borrowing costs, and benefitting the consumer.

Then we can get on with our lives.

The only ones I see not getting on with their lives are the housing bears still waiting for a crash that already came and went......

Harry_Powell

Percy1983 wrote: »

To be honest I am more than happy for prices to go down after I have bought a house.

As you mention everything else I buy is losing money so why not my house?

At what point did I say I want them to fall forever? I think they still need to come down slighly but past that I am happy for them to go up in value slowly in line with everything else making them no less affordable.

I am looking at buying a single property to live in and start a family in, as long as I can afford my mortgage I don't mind what happens, I am not expecting my home to be a 'free money machine' I expect it to be a home.

Eitherway the government can't keep it afloat forever.

Yes, all very nice. Until you realise just how much more you'll be paying for your home due to crappy LTV ratios and even worse how trapped you'd feel if you were in negative equity.

I thought the same as you until I bought my house last year. No doubt when the reality of servicing your mortgage debt hits you, you'll also be glad of a reasonable level of HPI.

DaddyBear

HAMISH_MCTAVISH wrote: »

What's not to like about reducing inheritance tax or getting the mortgage market moving again?

Not everyone can easily save a 25% deposit, particularly in those areas where rent is actually more than a repayment mortgage.



Only if the market forces are themselves "natural", allowing for the market to rise and fall based on real issues like affordability and average income.

What we have now is a wholly artificial situation where mortgages are being rationed, due to a liquidity crisis as banks rebuild their balance sheets. Not to mention a lack of competition amongst lenders pushing rates and LTV's far too high. It's shameless profiteering, and the post office pushing 90% LTV's should get some competition back into the system, reducing borrowing costs, and benefitting the consumer.



The only ones I see not getting on with their lives are the housing bears still waiting for a crash that already came and went......

That's where we live on completely different planets.
I believe that current lending is normal, with people expected to save up deposits and take out affordable mortgages on proven salaries.
You seem to think that 2004 to 2007 was normal with 125% mortgages at 5 times salary and no proof if income required.
Who is right is a matter if opinion, but in my planet we wouldn't have had complete financial meltdown.

Conrad

Generali wrote: »

I have to admit, I am utterly amazed by the gravity defying abilities of the UK's housing market but the numbers are what they are and house prices seem to be increasing each and every month, just about. Certainly the trend is clear.

Tis because you mgiht have overlooked THE key factor that 'experts' miss time and again; Brits are abandoning pensions and tradional packaged investments in favour of bricks, and yes for the zillionth time they can downsize for a tax free sum at retirment.

Time and again this is overlooked.

Bottom line is we have to invest in something, and gioven it's long term MOST people don't wring thier hands in anxt ridden indecision about timing, they just buy, it's that simple.