Why are posters so Obsessed with House Prices?

Exocet

Procrastinator333 wrote: »

To be fair, I believe Chucky was just making the point that in such a scenario, it isn't all gravy for the FTB. That is not the same as making a prediction that the world will look like that in the future.

Then it's not much of a point is it? Either you believe what you are typing and use that to make a point, or you create some kind of mythical world of figures that mean what?

I'll try it. Here's an example.

Interest rates fall to .25%. Inflation 1.3%. Wage inflation 4%. HPI 20%. Bad news for FTB's.

Oh sorry that was an example - it meant f'ck all. I only typed it to wind up Graham because I am a sad little tw@.

Malcolm.

Exocet wrote: »

Then it's not much of a point is it? Either you believe what you are typing and use that to make a point, or you create some kind of mythical world of figures that mean what?

I'll try it. Here's an example.

Interest rates fall to .25%. Inflation 1.3%. Wage inflation 4%. HPI 20%. Bad news for FTB's.

Oh sorry that was an example - it meant f'ck all. I only typed it to wind up Graham because I am a sad little [EMAIL="tw@."]tw@.[/EMAIL]

Keep cool exocet, else you'll explode.

Procrastinator333

Exocet wrote: »

Then it's not much of a point is it? Either you believe what you are typing and use that to make a point, or you create some kind of mythical world of figures that mean what?

I'll try it. Here's an example.

Interest rates fall to .25%. Inflation 1.3%. Wage inflation 4%. HPI 20%. Bad news for FTB's.

Oh sorry that was an example - it meant f'ck all. I only typed it to wind up Graham because I am a sad little tw@.

I'm not going to keep going here as I end up quoting what I think he said / meant, will leave it for him. But I don't have any issue with how or what he said - That is not the same as agreeing with him mind.

Malcolm.

I find Graham often uses feigning of ignorance and change of topic as debate tools. If someone continuously feigns igorance, I think it's fair game for a poster to highlight their sillyness.

chucky

Exocet wrote: »

I am a sad little tw@.

yes you are... but you know this already...

and what makes it more enjoyable is that you get kicked off the forum every so often and keep coming back because you want to get back at the same people that have mugged you off each and every time and yes that's said...

let it go... the pain will go in time... there's no pride to be lost on an internet forum...

chucky

Procrastinator333 wrote: »

Am I right in thinking you are saying that say inflation is 5%, the FTB is worse off if their salary stays the same, house prices stay the same because they then have less to spend on the mortage?

Very True.

But that is not a reason to buy now. If house prices are the same in 1 year and their salary is the same. They stil pay the same total price (all other things being equal) whethter they buy today or next year. And today's buyer gets squeezed just like the person who buys next year. E.g.

Say house price is £150k. Mortgage is £10k P.A. Salary is £25k after tax.

If they buy today. They have £15k disposable income after mortgage. If they do this same thing in a years time with the only difference being 5% inflation on other things, their £15k disposable income has the purchasing power eroded by about £750.

But whether they buy today or next year, their purchasing power is still eroded in that way.

as you say prices stay the same you're still paying the same in x amount of years but have saved a better deposit and get a better rate.

but the only time to buy now is if nominal prices go up.

you can have a scenario of nominal prices rising if only 30%-40 of the population have wage inflation of whatever it is. which if you have inflation it will be a higher number that will get pay rises, not everyone will get a pay rise in the current climate but many still will.

Procrastinator333 wrote: »

I'm not going to keep going here as I end up quoting what I think he said / meant, will leave it for him. But I don't have any issue with how or what he said - That is not the same as agreeing with him mind.

thanks for that but there really is no need - i have it regularly from the same idiots who come back time after time to try and settle old scores. you would have thought that they would have got a life by now...

Procrastinator333

chucky wrote: »

as you say prices stay the same you're still paying the same in x amount of years but have saved a better deposit and get a better rate.

but the only time to buy now is if nominal prices go up.

you can have a scenario of nominal prices rising if only 30%-40 of the population have wage inflation of whatever it is. which if you have inflation it will be a higher number that will get pay rises, not everyone will get a pay rise in the current climate but many still will.

I take you point about wage inflation and not needing everyone to have it to drive some hpi. Good example in the other thread of how it can add to a persons borrowing power.

But that does require that wage inflation doesn't go to additional tax and additional costs as a result of general inflation.

Personally I don't think there is going to be enough of this around to outweight the other factors, but each to their own. We will find out in good time.

JonnyBravo

Exocet wrote: »

Oh sorry that was an example - it meant f'ck all. I only typed it to wind up Graham because I am a sad little tw@.

Brilliant. Just seen this from a link from the other thread. Mewbs, you're getting as cross as carolt it seems?
Time for another "time out", to cool down and remember it's just a load of nonsense in here?

StevieJ

Chaos_A.D. wrote: »

I'm not obsessed with prices, more like I'm hanging around to see what I predicted last year to play out, and it's already on it's way. By the way, good luck on that 25 year 2% mortgage, cloud cuckoo land indeed.

On its way! what would that be then? house prices have increased since you said they would reduce, and recently you accepted we would probably have stagnation.

Sibley

The really amusing part of it is that the people who want house prices to come down are praying that interest rates rise in order to do so.

I share your baffledness.

The problem with the HPC gang is that they are not in a position to buy unless house prices dropped something silly like 90%.

They see this blip in the economy as their one and only chance to get out of the bedsit. Hard work,saving and sacrifice are the normal tools to get oneself into a property but they don't want to do that. Oh no, they just want the economy to fail so they can grab a bargain then gloat about how clever they are when prices shoot up.

These people are the types who come to your house party and stay all quiet. Bitter, twisted and scheming. Some did have property but sold in a gamble that prices would drop. They didn't and now they are losing thousands by paying landlords rent and getting no interest. No wonder they inhabit message boards trying to convince sellers it's doom and gloom and they should discount their property 90% for them to buy.

You will know if a crasher is wasting your time when you sell. An offer 20% + under your asking price. The estate agents won't even tell you when one of these idiots bid on your home. They know what they are dealing with and have a laugh when they walk out the shop. Comments like ' Look at that mug, he hasn't even got the money to pay the parking meter' get bounded about by the girls.