MSE News: Nationwide: house prices continue to drop

brit1234

Really2 wrote: »

I am not saying they did not but you can have anomalies in data. By default larger falls are more likely to have a larger margin of error.
the 3%+ came from no where and has not been replicated in this data, something is not right somewhere.
Otherwise both indexes would be matching as they are both mix adjusted and seasonally adjusted.

Transaction levels are so low that figures will be a little more random however the trend is clearly down and likely to carry on for the next year at least.


Remember these figures are being highly distorted upwards by socalled affordable housing and foriegn buyers. Shared ownership & equity now make up 47% of the market which is a major restraining factor on price falls. Then you have had all the foriegn investors in central london with high end properties due to the weak pound, thankfully that is slowing down.

Generali

angrypirate wrote: »

Also interesting to note that the september figure is 0.0% - i believe this is a revision - wasnt it positive?

Revised to 0.0% from up 0.1%:

http://www.nationwide.co.uk/hpi/historical/Sep_2010.pdf

It looks like a correction to a rounding error to me as the average house prices for Aug and Sept haven't changed.

de1amo

İ own about 70pc of my property but see falling property prices as a good thing!!--if i were looking to sell i would expect an adjusted price on the place i was going to buy plus the money i have squirrelled away due to low interest rates will buy more with a reduction.
i like to see contributors planning to buy their first homes by saving for deposits because that will start the chains of purchase going--i think this situation is a positive for the majority of home owners/new buyers.--or am i wrong??

ukcarper

Graham_Devon wrote: »

Hmph. I was told house prices only ever go up when I got on the ship

Rather reminiscent of you not to look at this board before you boarded.

Really2

brit1234 wrote: »

Shared ownership & equity now make up 47% of the market which is a major restraining factor on price falls.

So LR would be the most accurate as they do not include the above in their HPI index.

DervProf

angrypirate wrote: »

The idea of cutting interest rates wasnt so that people could invest in property - it was to encourage people to spend on the high street.

:T

I hope that was the intention, it would have been the right thing to do for hardworking families in Britain.

DervProf

Graham_Devon wrote: »

Hmph. I was told house prices only ever go up when I got on the ship

I bet it was Sibley who told you that.

Batchy

The idea of the government is the private sector can take the slack in the public sector cuts.

Austerity measures means we have to pay increased taxes, yes, but on the same level, if you buy a house as a FTB they give you a 1% break on the stamp value anyway... which could be worth 2500 in saved tax.

I dont understand what people are complaining about, they are empowering the people, its upto the people to make their own decisions.

Rates are historically low, values are historically low, the market is full of loads of properties, there is very little competition so no prices are being driven up either. Make your offer now, Unless you haven't already saved a deposit... LOL

I think most people who are buying at the moment are chain free FTBs ... I see chains of the movers falling through all the time.

You may save a few grand not buying now, but you will then have higher interest rates to pay, you will need an extreme deposit as the banks get burnt for bad debts further still, will have paid loads of rent and will not be able to take advantage of the stamp duty holiday and other tax breaks and 17.5% VAT.

Really2

Graham_Devon wrote: »

Hmph. I was told house prices only ever go up when I got on the ship

should have purchased for the right reasons instead of HPI then.;)

HAMISH_MCTAVISH

A 0.7% fall for October sounds about right, and does point to the Halifax being a statistical blip.

There was a lot of uncertainty and nervousness about the spending review, which has now been resolved.

Chances are there will be further small falls over winter, and further small rises in spring, but I think most people are expecting that.

I rather suspect the next 12 months are going to be pretty disappointing for bulls and bears alike.