MSE News: House prices down 4.2% over the year

Former_MSE_Guy

This is the discussion thread for the following MSE News Story:

"House prices fell at their fastest annual rate for 19 months during May as buyers continued to stay away from the market ..."

Read the full story:
Halifax: house prices down 4.2% over the year




This thread is not in the 'discuss house prices and economy board' as that is only open to those logged into the forum so anyone coming from the news story may not be able to see it.

Arthurian

Seems like the house price news keeps swinging up and down every couple of weeks. http://www.moneysavingexpert.com/news/mortgages/2011/05/nationwide-slight-rise-in-house-prices-in-may (up)

http://www.moneysavingexpert.com/news/mortgages/2011/05/halifax-house-prices-fell-during-april (down)

http://www.moneysavingexpert.com/news/mortgages/2010/03/nationwide-house-prices-creep-up-07-in-march (up)

http://www.moneysavingexpert.com/news/mortgages/2010/02/first-house-price-fall-in-10-months (down)

http://www.moneysavingexpert.com/news/mortgages/2011/02/halifax-house-prices-rose-in-january (up)

brit1234

Its clear to see the are falling, they are simply overvalued and there is no money in the system to support these prices. Unless we return to 125% mortgages, gift deposits, interest only, liar loans/self certs then prices will keep falling.

Even Shared equity/ownership scams are failing to keep the housing bubble inflated.

We may have an occasional positive house price figure in the next months figures but after that I expect a continual fall for the rest of the year with the exception of Octobers figures.

tara747

The trend is your friend... and the trend is down. :beer:

SG27

Good news for us first time buyers! Especially when you are only on one income due to redundancy

HAMISH_MCTAVISH

brit1234 wrote: »

Its clear to see the are falling,.

Except of course, that unlike your signatures claims, they are currently all rising.

Halifax +0.1%

Land Registry +0.8%

Nationwide +0.3%

And not just seasonal rises, that's from seasonally adjusted indices so they're rising by MORE than would be expected at this time of year.:D

shortchanged_2

And what are the volume of sales Hamish?

The housing market will eventually dry up unless there are price drops because the majority of house sales at the moment are cash buys.

HAMISH_MCTAVISH

SG27 wrote: »

Good news for us first time buyers! Especially when you are only on one income due to redundancy

Except of course, that the house price crash is what caused the recession and associated redundancies to begin with.

So not really such "good news" after all.

House prices led the economy into recession, and we won't see a strong recovery until they start rising meaningfully again.

HAMISH_MCTAVISH

shortchanged wrote: »

And what are the volume of sales Hamish?

The housing market will eventually dry up unless there are price drops because the majority of house sales at the moment are cash buys.

False.

Current volume of sales around 65K per month, and mortgage approvals around 45K per month.

Far from being a majority, only around a third of sales are to cash buyers.

shortchanged_2

HAMISH_MCTAVISH wrote: »

Except of course, that the house price crash is what caused the recession and associated redundancies to begin with.

So not really such "good news" after all.

House prices led the economy into recession, and we won't see a strong recovery until they start rising meaningfully again.

Nice to see you have a sense of humour after all Hamish. That's a good one.

shortchanged_2

HAMISH_MCTAVISH wrote: »

False.

Current volume of sales around 65K per month, and mortgage approvals around 45K per month.

Far from being a majority, only around a third of sales are to cash buyers.

Yes sorry it's not a majority over all. But in the South East and London it is looking like cash buyers are in the majority. http://www.bbc.co.uk/news/business-13116262

Interesting that. The main place where house prices are continuing to rise is where there is a majority of cash buyers. :shocked: