Asking prices fall 1.1%

wherediditallgothen

IveSeenTheLight wrote: »

Offers over and sealed bids work well in Scotland in my experience.

So does Irn Bru and deep-fried mars bars

dopester

MadnessOfHPC wrote: »

The fact these HPC ghouls can't face is that while prices plateau they will never crash.

Generali might have put a case for why he though Connaught Plc was in significant trouble a while back.

He might have been seen as a ghoul by other shareholders, but a saviour by other shareholders who read and agreed with his analysis and sold before big drops in value, or by prospective purchasers who changed their minds about buying the shares a few months ago.



Same we me. My analysis which concludes in falling values is nothing personal or ghoulish. Strictly market analysis from how I see it - choosing not to buy into the market and thinking it heavily overvalued and subject to negative impact on values.



Why don't you concentrate on why your analysis is correct, explaining reasons why values will plateau or even rise?

des_cartes

ess0two wrote: »

More chance of hell freezing over,by your own admission you sold in 06,you'll probably buy back in at 06 prices.

Why? House prices have fallen massively in other countries and would have done so by now in the UK if the previous government had not spent billions propping the market up. This government will not waste your money doing what the last one did which is why the UK will be joining the US, Ireland and Japan in enjoying house prices at pre boom prices. btw, if I wanted to buy at 2006 prices I could have done so earlier this year before prices started to fall again.

ess0two

des_cartes wrote: »

Why? House prices have fallen massively in other countries and would have done so by now in the UK if the previous government had not spent billions propping the market up. This government will not waste your money doing what the last one did which is why the UK will be joining the US, Ireland and Japan in enjoying house prices at pre boom prices. btw, if I wanted to buy at 2006 prices I could have done so earlier this year before prices started to fall again.

Best of luck,but the next period will see withdrawal of property from the market,repos are at an all time low,coupled with IR'S.
Hence what caused the rises,late last year into this year.

timski8000

I struggle to really understand the mathematics behind house prices and why 1. The media reports house price-falls like Hitler has been re-incarnated and 2. Why many who own their homes (pay a mortgage) listen to such media reports and believe they are getting wealthier whenever prices go up?

Seriously, most home owners seem obsessed with prices going up but I struggle to see how this benefits anyone but those down-sizing. I mean if I own a £100'000 home and it goes up 2% it is worth £102'000.

The owners go woopie but if they want to move down the street to a house that was worth £200'000 and also went up by 2% then this house would now be worth £204'000.

The maths says that this new home is actually more expensive as the difference between the two is now £102'000 (£204'000 - £102'000) rather than £100'00 (£200'000 - £100'000).

I understand that you would effectively have a £100'000 mortgage on a property 'worth' £102'000 but you will always need a house so it's pointless!!!

What is the whole obsession with prices going up - all it does is hurt the aspirations of those further down the age scale (a situation that is dangerously prevalent throughout most other areas of society).

Hopefully someone with a better financial understanding and, more importantly, without a biased "i'm a home owner" mindset could inform me if this view of rises benefitting almost nobody is incorrect.

(And yes i'm quite clearly a dissalussioned 24-year old renter who despairs at his inability to even consider buying somewhere modest to live).

des_cartes

ess0two wrote: »

Best of luck,but the next period will see withdrawal of property from the market,repos are at an all time low,coupled with IR'S.
Hence what caused the rises,late last year into this year.

Ok heres my take on the above:

1. More properties coming onto the market because of, btl sales as housing benefit lowers rental returns, more people have to move to find work as cuts to benefits end the option of staying put on the dole and finally more reposessions as smi benefit is cut or ended.

2. Interest rates can only go one way and it's not down

3. lending is rrestricted to pre boom levels (no more self cert mortgages, no more loans of 6x income or 125%ltv.

This will not happen by accident. It will happen because the only way the UK can survive economically is to divert money from high debt/high house prices into low debt and low house prices. This gives people more disposable income to spend on things that people produce, creating jobs for people instead of bonuses for bankers.

ILW

MadnessOfHPC wrote: »

Last time I checked people don't live in shares.

I know someone that lives in Bedfordshare.

timski8000

Yes but surely this would make sense if the UK was a collective entity making decisions for the good of the many.

Surely the reality is that people who have bought (pay a mortgage on) their homes is that they will refuse to accept large house price falls and will withdraw their houses fronm the market causing supply to fall and the ratio of supply demand to shift in favour of sellers again.

In a fair world those who have over-leveraged themselves would still have little option but to sell the homes THEY CANNOT AFFORD when interest rates go up to the level they should be at given that my market leading savings account cannot compete with inflation. The trouble is that policy makers see that they can scratch the back of home owners by doing all they can to keep them in their homes (and worse, keep their homes close to the over-priced level they paid for it) in return for a return scratch come polling day.

It is genuinely insane - clap clap for the economic model Mr.Brown. BTW - how much is that gold you sold worth now?

ess0two

des_cartes wrote: »

Ok heres my take on the above:

1. More properties coming onto the market because of, btl sales as housing benefit lowers rental returns, more people have to move to find work as cuts to benefits end the option of staying put on the dole and finally more reposessions as smi benefit is cut or ended.

2. Interest rates can only go one way and it's not down

3. lending is rrestricted to pre boom levels (no more self cert mortgages, no more loans of 6x income or 125%ltv.

This will not happen by accident. It will happen because the only way the UK can survive economically is to divert money from high debt/high house prices into low debt and low house prices. This gives people more disposable income to spend on things that people produce, creating jobs for people instead of bonuses for bankers.

1.Potentially but suspect the majority of professional BTL will weather the storm.

2.At some point,too many factors to consider,alternatively why do they have to rise,rest of the world on par.

3.Lending??? 3 bed semi can be had for 3x (£120k) in my area.


From what i see people are spending,perhaps more wisely.


4.This place can seriously damage your pocket or outlook on life in general.

ukcarper

[QUOTE=timski8000;36791890

Seriously, most home owners seem obsessed with prices going up but I struggle to see how this benefits anyone but those down-sizing. I mean if I own a £100'000 home and it goes up 2% it is worth £102'000.

.[/QUOTE]

do they or is it just the people on here