London house prices rise 8%......

Sibley

Great news.:beer:





http://www.thisislondon.co.uk/money/article-23914044-londons-house-prices-post-81-percent-growth-rate.do

All of London's 33 boroughs bar one — Tower Hamlets — are enjoying rising house prices, according to new analysis.

Prices in the capital rose at an annual pace of 8.1% during the past three months but Your Move owner LSL Property Services put the east London borough's poor performance — prices dipped 2.5% — down to its much higher proportion of flats.

Camden, Barnet and Merton are showing the strongest growth in prices.

London, the South-East and South-West are still seeing average annual price rises of 5% or more but the wider market is cooling, LSL added.

Average prices across the UK fell 0.2% in December, with prices suffering in the North and Wales.

Managing director David Newnes said: “The disparity between the regions is widening. In traditionally high-value areas such as London and the South-East, price growth has been significantly stronger than the national average, and this is likely to continue through 2011.

brit1234

The London market has been heavily distorted by foriegners investing in high end property. Commodity and property investment has been drawing in money due to internationally extremely low interest rates. The low transactions in London have been distorted by the foreign buyers where the lower market is dead.

What we do know is the semi detached properties aren't doing any where as good.

What we have in London is bubbles within bubbles with the high end most likely to see the biggest falls in the years to come.

Prices are falling, to say anything else is dishonest.

Niche

REAL_MEN_HAVE_SEMIS wrote: »

Oh dear. I guess the bears can always stick that in their pipe and smoke it.

'Real_Men'_'Have_Semis'...........LOL

I wouldn't boast about only having a semi - the wife will run off with someone who is fully operational:rotfl:

Hsarcgib

brit1234 wrote: »

The London market has been heavily distorted by foriegners investing in high end property. Commodity and property investment has been drawing in money due to internationally extremely low interest rates. The low transactions in London have been distorted by the foreign buyers where the lower market is dead.

What we do know is the semi detached properties aren't doing any where as good.

What we have in London is bubbles within bubbles with the high end most likely to see the biggest falls in the years to come.

Prices are falling, to say anything else is dishonest.

This is right. The high end market is distorting the figures. Most of London is falling along with the rest of country.

When the cuts to housing benefit come in the high end market will crash in line with the falling rest of the country.

There are still families getting up to 4K per week to live in these high end properties. Its a wonder prices havent gone up even more with these families propping up the market.

I know the 4K families are in the minority but there are many more getting 2K per week and many many more getting about a grand a week housing benefit in the high end London market.

There is no way these families can afford he rent when he government stops paying it. They will have to move somewhere cheaper. Which will lower average rents in the high end market. When rentscrash so will house prices.

Generali

London house prices rise 8%......

Not quite. From the OP's article:

Prices in the capital rose at an annual pace of 8.1% during the past three months

What that means is that if you take the average rate of growth of house prices in the last three months in London and assume that the same thing will happen for a further 9 months, house prices will have risen by 8%.

That is a bit of a weird statement because LSL use Acadametrics to compile their index. If you go here:

http://www.acadametrics.co.uk/acadHousePrices.php

you can get their regional data going back from November 2010 to February 1995.

Now from that data, in the past year, London house prices in the past year rose by 7.9% or 8% near as dammit. However, if you take the data that he claims to use for the article, ie the last 3 months, nominal average house prices in London fell from £382,275.55 to £381,284.68. That is a fall of 0.26% in the past 3 months or a fall of 1.1% annualised.

If he'd kept it simple and said, this is what has happened to house prices in the last 12 months he'd have been fine. The poor old bloke tried to get clever and that doesn't appear to be a forte.

The_Fox_3

Sibley wrote: »

Great news.:beer:





http://www.thisislondon.co.uk/money/article-23914044-londons-house-prices-post-81-percent-growth-rate.do

I once wrote in a post why is it that this bloke Sibley annoyed so many people, i now understand why.
Whether you or i like it or not(it's irrelevent) every indicie is now showing a downward trend over ALL of the UK. Of course there will be the odd contridiction(what you tend to look for), but in general that trend is now pointing down.

I can honestly understand why people do nottake you seriously now, if there is any bull argument left it is that the falls will not last that long and will not be that great.

making out that property is still rising makes you sound like that chap that said that there was US tanks entering Bagdad.:rotfl:

DervProf

Sibley wrote: »

Great news.:beer:





http://www.thisislondon.co.uk/money/article-23914044-londons-house-prices-post-81-percent-growth-rate.do

"Great news" ultimately caused by a shortage of property, as reported on the BBC news this morning. There are record waiting lists for social housing and the BBC said that there is a shortage of housing in this country.

What the bulls celebrate is not far removed from saying that an earthquake is good for builders, or disease is good for medicine manufacturers.

Loughton_Monkey

...... yawn.......
.....zzzzzzzzzzzzzzzzz........

HAMISH_MCTAVISH

DervProf wrote: »

"Great news" ultimately caused by a shortage of property, as reported on the BBC news this morning. There are record waiting lists for social housing and the BBC said that there is a shortage of housing in this country.

Oh, so now you admit there is a shortage of housing....

Well, it's a start. :beer:

What the bulls celebrate is not far removed from saying that an earthquake is good for builders, or disease is good for medicine manufacturers.

What is it with you lot and your constant need to assign morality to housing?

Houses are assets, and like all assets subject to the law of supply and demand.

Sure, you can artificially restrain house prices for a while with mortgage rationing, but such tinkering can only ever be a short term effect, and it's having little impact anyway.

Mortgage lending is just one third what it was at peak, and house prices are still 90% of what they were at peak on average, and at a new peak in some places. And in the meantime, rents have soared to a new peak instead, because ultimately, there is still a massive shortage of housing in this country.

At some point in the next few years, enough people will have saved a deposit, rental returns will attract an influx of capital, and mortgage lending will increase.

It doesn't take a rocket scientist to figure out what happens then... Prices soar.

Which is neither good nor bad... Just inevitable.

Losing_the_way

Why is it that some posters think that other posters are gullible, or is it that they themselves have been in the past.

[Deleted User]

I agree about Barnet, prices have been going up, it's crazy.