Asking prices fall at a rate 25% a year

macaque_2

Do I see a crack in the dam?

The price tag sellers are placing on their houses fell by 2.1% from July to August to an average of £231,543.

http://www.moneywise.co.uk/news-views/2011/08/15/asking-house-prices-continue-to-fall

Generali

macaque wrote: »

Do I see a crack in the dam?



http://www.moneywise.co.uk/news-views/2011/08/15/asking-house-prices-continue-to-fall

22.5%. The 2.1% would compound.

Monthly figures are just noise.

experience08

macaque wrote: »

Asking prices fall at a rate 25% a year

Where did you get the 25% figure from?
It's the stupid estate agents over-valuing the property in the first place (to get the business) that are to blame more than the vendors who get excited by the value on their home... before realising it's not going to sell at that price, then reducing to a realistic figure.

EDIT i see 2.1% (from July to August) X 12 =25.2%...not exactly true:)

Loughton_Monkey

experience08 wrote: »

Where did you get the 25% figure from?

It is the same compounding "illogic" that people like macaque cannot comprehend.

I notice that FTSE100 went up 0.574% today. I can therefore conclude (using macaque's 'logic') that with about 95 trading days left in 2011, then the FTSE100 will end the year at precisely 9218.

That's about 72% higher than now.

Most of us have enough minimal education to realise that this is a ridiculous assertion. Sadly, this is not true of all posters on these boards, which explains why we are asked to believe that asking prices are plummeting at 25% a year.

We need an all-embracing public enquiry to ascertain why some posters do not feel fully 'engaged' with the financial community. It should investigate why such people cannot afford to become a 'stakeholder' in the house owning community and thus feel disenfranchised - lurking on the boards and speaking in their own coded 'language' or patoir [otherwise known as b0llocks]. Clearly this is a sure symptom of a 'Broken Society' which should be met with zero tolerance.....

myhouse_2

Rightmove asking prices have fallen in almost every August for the past 8 years or so. Nothing to get excited about here.

Pimperne1

macaque wrote: »

Do I see a crack in the dam?



http://www.moneywise.co.uk/news-views/2011/08/15/asking-house-prices-continue-to-fall

And yet selling prices are stagnating.

http://housepricecrash.co.uk/indices-nationwide-national.php

Mr_Mumble

Just to confirm the math:

(1 - ((1 - 0.021) ^ 12) ) * 100 = 22.48% annualised fall.

PS. currently trying to brush up my basic finance math using this excellent, freebie, online book:
http://book.ivo-welch.info/

Loughton_Monkey

You may purchase a stock at $50 which will pay a guaranteed dividend of $5 at the end of 1 year. If you sell the stock for $51 at the end of 1 year, what is the capital gain (or capital loss) for the period?
Your Answer: $1. Correct Answer: 1.000. Your answer seems to be wrong.

Whoops! The problem with computer generated test questions!

Sibley

Do I see a crack in the dam?

No but you will see house prices rise around 20% over the next 3 years.

TedButler

macaque wrote: »

Do I see a crack in the dam?



http://www.moneywise.co.uk/news-views/2011/08/15/asking-house-prices-continue-to-fall

Yes you do, but they are plugging it with low interest rates for as long as they can.

StevieJ

Generali wrote: »

22.5%. The 2.1% would compound.

Monthly figures are just noise.

I am quite sure the Simian knows that