House Prices Soar By 10%

MiserlyMartin

chucky wrote: »

yes you're obviously right

rates will soar
unemployment will soar
tories will cause another HPC
there are no funds for the credit markets
there's going to be a gilt strike
the UK will call in the IMF

which one or how many of them is going to happen

Probably 4 of them you pick. But don't blame the tories, that has already been set up by the stuffed up economy that they will inherit from Brown.

chucky

MiserlyMartin wrote: »

Probably 4 of them you pick. But don't blame the tories, that has already been set up by the stuffed up economy that they will inherit from Brown.

i was hoping for all 7

the tories are the white knight that will make housing affordable according to this forum... best not hold my breath...

brit1234

chucky wrote: »

you have been around such a long time that you still think that the ticket price of a property is what you pay for a house...

do the maths on buying in Sept 2007 on a 1% tracker and buying in Sept 2008 on a 3% tracker when houses were cheaper... it doesn't matter when you buy as long as you get a good cheap rate

no wonder you struggle with the basic stuff Brit - it's getting embarrassing now for you

lol your argument has changed in a course of a few hours from its never a bad time to buy to buy when you can get a cheap interest rate.



Sorry but wasn't it the cheap interest introducer payments that triggered the economic crisis when the rates ended, or was that my imagination.

Better pray rates aren't going up again, by the way what was the latest inflation figure :rotfl:

Your understanding of risk like many is poor.

chucky

brit1234 wrote: »

lol your argument has changed in a course of a few hours from its never a bad time to buy to buy when you can get a cheap interest rate.

c'mon Brit, it's a bit weak putting silly pictures up and now saying things i never actually said because of this it's not really worth trying to explain it to you unfortunately.

your HPC cult won't let you think outside of the box, keep up the never say die spirit.
keep it up...

MiserlyMartin

So whats your advice Chucky to protect against rampant inflation? Spend that large house deposit on a house? Which is worst - risk of house price falling or risk of savings inflation wipe out? Its not easy.

chucky

MiserlyMartin wrote: »

So whats your advice Chucky to protect against rampant inflation? Spend that large house deposit on a house? Which is worst - risk of house price falling or risk of savings inflation wipe out? Its not easy.

you've assumed that house prices will fall - you're refusing to considered any other scenario.

what happens with house price rising? isn't that a double blow for those with a deposit that is being eroded by inflation and also that deposit is less effective as HPI has shown in the last 12 months

how can you expect inflation and not have an asset class like house prices increase?

HAMISH_MCTAVISH

MiserlyMartin wrote: »

So whats your advice Chucky to protect against rampant inflation? Spend that large house deposit on a house? Which is worst - risk of house price falling or risk of savings inflation wipe out? Its not easy.

Actually it's very easy.

There's a reason they call it an "inflationary dash for assets".....

If you believe high inlfation is the way forward, then you should be leveraging up to the max and buying as much property as you can.

MiserlyMartin

chucky wrote: »

you've assumed that house prices will fall - you're refusing to considered any other scenario.

what happens with house price rising? isn't that a double blow for those with a deposit that is being eroded by inflation and also that deposit is less effective as HPI has shown in the last 12 months

how can you expect inflation and not have an asset class like house prices increase?

Its always possible to be proved wrong in time thats why I raised the question. But as I say risks to the downside for housing to me are greater. Its quite possible that prices will rise some time to come before they finally correct again. I am concerned about inflation during this time.

chucky

MiserlyMartin wrote: »

Its always possible to be proved wrong in time thats why I raised the question. But as I say risks to the downside for housing to me are greater. Its quite possible that prices will rise some time to come before they finally correct again. I am concerned about inflation during this time.

i can't really tell you house prices will fall or rise - but for me i can't see them falling in nominal terms unless the credit markets dry up again.

but i can see it in falling in real terms with a very small level of HPI or prices staying basically flat for 18-24 months.

prices falling in real terms usually means savings and house deposits are eroded by inflation and are less effective.

MiserlyMartin

HAMISH_MCTAVISH wrote: »

Actually it's very easy.

There's a reason they call it an "inflationary dash for assets".....

If you believe high inlfation is the way forward, then you should be leveraging up to the max and buying as much property as you can.

It may be the way forward. It might not be. Who here is really sure of inflation futures? Obviously you are hoping for the inflation to happen given your circumstances.