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Debate House Prices
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Spot the suckers rally.
macaque_2
Posts: 2,439 Forumite
My advice to would be house buyers is to let the property addicts take the hit before dipping your toe in!
http://www.marketoracle.co.uk/Article20816.html
UK unemployment is set to rise as a consequence of deep spending cuts and tax rises that target an annual £113 billion withdrawal from the economy by 2015-16, which according to the ConLib governments own figures will result in 1.3 million job losses comprising of 600k public sector and 700k private sector jobs. This analysis seeks evaluate the likely impact of unemployment trends against house price trends.
http://www.marketoracle.co.uk/Article20816.html
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“The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.
Belief in myths allows the comfort of opinion without the discomfort of thought.”
-- President John F. Kennedy”0 -
Are you calling me a sucker?0
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Are you calling me a sucker?
It depends. By definition, the term sucker's rally only applies to investors and speculators. If you are buying a home to live in, then timing and price of your purchase is of secondary importance.
From an investment perspective, almost everything about the graph is screaming 'don't buy'. The only element of the graph that looks positive is a recent uptick in prices. When such a correction goes against the fundamentals this is a suckers rally. There are several factors to consider about the graphs:- Unemployment is rising rapidly. The transient halt to this rise coincides with a general election. Incumbent governments always try to 'buy' jobs before an election for obvious reasons.
- The increase in house prices coincided with the government flooding the market with cheap money. This money was underwritten by the tax payer and has now dried up. Although there is still money around to fund house purchases, the lenders require between 30 and 50% deposits to mitigate risk.
- The net effect of rising unemployment is that average incomes fall. This is combined with falling disposable incomes due to wage reductions and higher taxes. The net effect is that £tens billions have dissapeared from the flow of funds being used for house purchase.
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the lenders require between 30 and 50% deposits to mitigate risk.
Do you and brit just lie through your teeth or are you simply mentally disabled?This is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com0 -
Do you and brit just lie through your teeth or are you simply mentally disabled?
Please can you clarify your statement, I am not aware of lying personally. Infact I take my stand point through informed reading and studying risk at uni.
You may not like some of our views but that is no reason to call us lier's.
If you do not like our views ignore us or simply debate what you don't like instead of resulting to insults.
As for the housing market I think it is extremely overvalued. This is as a result of too low interest rates, change from lending from based on savings to securitisation, mass fraud, land registry manipulation and huge government stimulus.
With the death of the securitisation, clamp down on fraud, gift deposits and end to stimulus I can see the housing market now falling to normal levels. Especially when you take into count rising unemployment, higher taxes and wage freezes.:exclamatiScams - Shared Equity, Shared Ownership, Newbuy, Firstbuy and Help to Buy.
Save our Savers
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Boring...buy a house you like and live in it...end of story.Feudal Britain needs land reform. 70% of the land is "owned" by 1 % of the population and at least 50% is unregistered (inherited by landed gentry). Thats why your slave box costs so much..0
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I am not aware of lying personally.
You have historicall, repeatedly lied in your signature.
When you used to quote rightmove consecutive declines and you had been corrected numerous times with changing your statement.
http://forums.moneysavingexpert.com/showpost.html?p=26077289&postcount=61
That is lying, without going into the eroneous detail in your posts.:wall:
What we've got here is....... failure to communicate.
Some men you just can't reach.
:wall:0 -
Do you and brit just lie through your teeth or are you simply mentally disabled?
Of course they lie. Non stop lies, misdirection and propaganda. All in a vain attempt to talk down a housing market on a board with 30 regulars at most.
Actually, thinking about it, I'm leaning towards them being mentally disabled. Because surely they're not idiotic enough to think anyone believes them, when the facts so clearly contradict all of their assertions.....“The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.
Belief in myths allows the comfort of opinion without the discomfort of thought.”
-- President John F. Kennedy”0 -
IveSeenTheLight wrote: »You have historicall, repeatedly lied in your signature.
When you used to quote rightmove consecutive declines and you had been corrected numerous times with changing your statement.
http://forums.moneysavingexpert.com/showpost.html?p=26077289&postcount=61
That is lying, without going into the eroneous detail in your posts.
How is that lying? Having a signature that at the time was true and then not updating it for about a year isn't lying. So things change, your were aware of the massive government stimulus package with the aim of reinflating the housing bubble weren't you?
If you want to embrace macaque sucker rally then invest in more property. However I can clearly see the resumption of the housing crash happening now.
You can try to deflect the issues with a slander campaign however my money is still waiting for when I can afford a home, pure and simple.HAMISH_MCTAVISH wrote: »Of course they lie. Non stop lies, misdirection and propaganda.
Thats rich coming from you Hamish. You just quote sound bytes from vested interest often without references in mass spam campaigns. At least most of us bears post in more detail with actual experts and informed discussion.
The balance on this forum of debate seems to be bulls (primary school comments) V bears (college/university level comments). There are exceptions but most bull retorts seem childish. Some times it lowers the bears reply down to a more childish nature to get through to your level. Which on occasion I have done as well."House prices to rise 500% in 2 years"
Hamish
Housing Propaganda Minster:exclamatiScams - Shared Equity, Shared Ownership, Newbuy, Firstbuy and Help to Buy.
Save our Savers
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