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Debate House Prices


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Mortgage plan will force house prices down, CML warns

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Comments

  • Really2
    Really2 Posts: 12,397 Forumite
    10,000 Posts Combo Breaker
    Emy1501 wrote: »
    As with everything its about following the crowd. For what ever reason prices started rising in 96 and then everyone wanted to join the crowd. I suspect those who bought in 98-99 could have bought in 94-95 but chose not to.

    So it took rising prices to move the crowd? Less people buy when prices are falling and are stagnant then, we have it from the horses mouth. :)
  • Really2
    Really2 Posts: 12,397 Forumite
    10,000 Posts Combo Breaker
    Emy1501 wrote: »
    I bought in Early 96 and most people I knew though I was mad.

    Sorry OT I thought you were priced out now and waiting to buy?
  • Emy1501
    Emy1501 Posts: 1,798 Forumite
    Really2 wrote: »
    Sorry OT I thought you were priced out now and waiting to buy?

    NO never been priced out or suggested I have been priced out. Yeah i believe house prices are too high but I'm not priced out.
  • Really2
    Really2 Posts: 12,397 Forumite
    10,000 Posts Combo Breaker
    Emy1501 wrote: »
    NO never been priced out or suggested I have been priced out. Yeah i believe house prices are too high but I'm not priced out.

    Sorry, just being a presumptuous forum user. :)
  • Emy1501
    Emy1501 Posts: 1,798 Forumite
    Really2 wrote: »
    So it took rising prices to move the crowd? Less people buy when prices are falling and are stagnant then, we have it from the horses mouth. :)

    There a difference between people being able and wanting to buy.
  • Emy1501 wrote: »
    There a difference between people being able and wanting to buy.
    You mean there's nothing scientific about "pent up demand" and "potential first time buyers"? ;)
    Long live the faces of t'wunty.
  • Really2
    Really2 Posts: 12,397 Forumite
    10,000 Posts Combo Breaker
    edited 23 September 2010 at 12:28PM
    Emy1501 wrote: »
    There a difference between people being able and wanting to buy.

    There is a Difference between anecdotal and statistics.

    More people buy in a rising market than a stagnant or falling one. :)

    So the fact is a rising market enables more to buy, partly because of lending partly due to being a sheep?

    One thing is for sure there is no evidence that falling or fallen prices enable more to buy.

    From prices falling to the top of the next peak (1989-2007) transactions never got past 1989 peak even though prices were lower for 9 years (or 12 years in real terms)..:)
  • DervProf
    DervProf Posts: 4,035 Forumite
    http://www.bbc.co.uk/news/business-11390764


    Golden age over?

    Despite this the mortgage industry has been alarmed at the prospect of excessive new formal restrictions, such as being obliged to demand that borrowers prove they can pay (not an unreasobale thing to do, surely ?).
    "The unintended consequences of new mortgage regulation are likely to stifle innovation (lying about your income) and opportunity (fraud)," said Mr Coogan.
    "Whether for first-time buyers, movers, borrowers who want to access their equity, those whose personal circumstances are different to the 'norm', private investors in residential property or funders of social housing," he said.(That`s virtually every borrower, you clown, they are the 'norm').
    Mr Coogan argued that if prices fell again, undermining the security houses gave lenders for loans already made, then mortgage rationing would continue and many more people would be locked out of home ownership. (If house prices fell, lenders wouldn`t have to lend so much. They would also not have to worry so much about further falls, as they would be less likely than they are at today`s high prices).

    "The golden age of home-ownership is over, for the moment," he added.(What a muppet - "The golden age".... Lol !!! Why has it been a "golden age" ? Yes, it`s good to own your own home, whatever age you are living in. Maybe he means that 10%+ HPI is over, how sad.).

    Mr Coogan went on to say "I`m not driving a Mini Metro, I`m not driving a Mini Metro, I`m not dri............".
    30 Year Challenge : To be 30 years older. Equity : Don't know, don't care much. Savings : That's asking for ridicule.
  • carolt
    carolt Posts: 8,531 Forumite
    DervProf wrote: »
    http://www.bbc.co.uk/news/business-11390764


    Golden age over?

    Despite this the mortgage industry has been alarmed at the prospect of excessive new formal restrictions, such as being obliged to demand that borrowers prove they can pay (not an unreasobale thing to do, surely ?).
    "The unintended consequences of new mortgage regulation are likely to stifle innovation (lying about your income) and opportunity (fraud)," said Mr Coogan.
    "Whether for first-time buyers, movers, borrowers who want to access their equity, those whose personal circumstances are different to the 'norm', private investors in residential property or funders of social housing," he said.(That`s virtually every borrower, you clown, they are the 'norm').
    Mr Coogan argued that if prices fell again, undermining the security houses gave lenders for loans already made, then mortgage rationing would continue and many more people would be locked out of home ownership. (If house prices fell, lenders wouldn`t have to lend so much. They would also not have to worry so much about further falls, as they would be less likely than they are at today`s high prices).

    "The golden age of home-ownership is over, for the moment," he added.(What a muppet - "The golden age".... Lol !!! Why has it been a "golden age" ? Yes, it`s good to own your own home, whatever age you are living in. Maybe he means that 10%+ HPI is over, how sad.).

    Mr Coogan went on to say "I`m not driving a Mini Metro, I`m not driving a Mini Metro, I`m not dri............".

    Liked the annotations.
  • des_cartes
    des_cartes Posts: 368 Forumite
    edited 23 September 2010 at 3:11PM
    Really2 wrote: »
    you questioned there were no facts to support.



    I provided stats on house transactions for booms and busts.

    You said IR rates from 1992-1996 were in the 8-15% range.
    I provided you a link to show you they were between 7.88% - 5.13% range

    I ignored the bit about you owning outright / getting out of property in 2006 perhaps I should have not. This aint going anywhere other than you changing stance every time and not backing a word up.


    What is your position on house prices? High=good or Low = good?
    I can't be ar$d debating the minutiae so lets get to the real issue shall we. To summarise my take :

    Lower prices mean more people who want to buy can buy = good.
    High prices mean more people who want to buy cannot buy = bad.

    If you want to waste your time debating dotted i's and crossed t's thats fine but stop wasting mine.
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