How panic in Europe will hurt UK house prices

chucknorris

Flight2quality wrote: »

With share prices plunging and fears over Europe rising, homeowners might take comfort from the idea that at least interest rates won't rise.

I take comfort that we have had low rates for over 3 years now and it looks like continuing a fair bit longer too. But when rates do go back up it's merely a return to 'normal' profitability, at the moment (and for over 3 years) it has been a period of 'super' profitability. It just doesn't get any better than it is right now though.

Flight2quality

chucknorris wrote: »

I take comfort that we have had low rates for over 3 years now and it looks like continuing a fair bit longer too. But when rates do go back up it's merely a return to 'normal' profitability, at the moment (and for over 3 years) it has been a period of 'super' profitability. It just doesn't get any better than it is right now though.

So you dont think house prices will come down when rates go back up and auction houses are full of repossessions?

chucknorris

Flight2quality wrote: »

So you dont think house prices will come down when rates go back up and auction houses are full of repossessions?

No I do not because rates will not go back up until the economy has improved, when the economy has improved house prices are unlikley to fall. But even if they did fall slightly it wouldn't bother me they will go back up again in due course.

StevieJ

purch wrote: »

What complete and utter !!!!!!!! !!!!!

The debt problems of the Eurozone are not affecting the U.K. Quite the reverse in fact.

Gilts are strong, and getting stronger.

Sovereign Credit Default Swaps clearly show how the U.K. is now considered a safer debt issuer than any Eurozone country........even Germany.

UK 5 yr CDS 96
Germany 5 yr CDS 108
France 5 yr CDS 207
Spain 5 yr CDS 447
Italy 5 yr CDS 548
Greece 5 yr CDS 3,535 :eek:

OMG I thought it only went up to a thousand.

HAMISH_MCTAVISH

Flight2quality wrote: »

Hamish you will be right one day with your prediction that "gold and silver were going to crash 100%guaranteed":

Silver already crashed, silly boy. :rotfl:

Down 40% from peak now.:)

Gold fell by triple digits yesterday alone...... is that a record?:D

DervProf

Hamish think he's clever, predicting the inevitable fall in the price of precious metals. Keep repeating it Hamish, if you think it makes you look clever.

The clever thing to do would have been to invest in gold/silver a few years ago, an have taken your profits. You did do that, didn't you ?

Yes, Hamish, you are spectacular. :T

Flight2quality

HAMISH_MCTAVISH wrote: »

Silver already crashed, silly boy. :rotfl:

Down 40% from peak now.:)

Gold fell by triple digits yesterday alone...... is that a record?:D

:rotfl: Ha ha after it shot up to over $1900 yes we are in the dip, in a healthy bull market you have dips and peaks but the trend is up up up.

You always say this same trash Hamish, every time there is a peak you go all quiet then in the next dip you spurt your same nonsense say gold and silver are crashing.

You forget your prediction that gold and silver were going to crash when silver $8 in early 2009 and gold was not even over $1000.

All the way up every little dip you show yourself to be so stupid. When silver went over $20, back to $16 you said see silver is crashing. Again and again every dip the same stupid nonsense.

You will be spurting the same stupidity when silver goes over $60 then settles at around $40 something, then when it goes over $80 and settles back to $60 something getting ready for the next leg up.



Can you not see how markets work, can you not see how wrong you always are ever since your $8 silver prediction HAMISH_MCTAVISH you said "gold and silver were going to crash 100% guaranteed" and when anyone disagrees with you, you are so childish with insults. But when you are proved wrong you throw your toys out of the pram and go crying to the mods.

Give it a rest Hamish just admit you were wrong to predict Silver was going to crash after it just doubled from $4 to $8 per ounce.

Flight2quality

chucknorris wrote: »

No I do not because rates will not go back up until the economy has improved, when the economy has improved house prices are unlikley to fall. But even if they did fall slightly it wouldn't bother me they will go back up again in due course.

What if the economy is only going to get worse before the big crash? Interest rates kept too low for too long is going to make the situation a lot worse.

Of course you are right that house prices will fall then go back up again in the long term. The question is when and how big will the falls be?

Jimmy_31

HAMISH_MCTAVISH wrote: »

Mate, I've been pretty spectacularly right about house prices every year since I started posting on these boards, and only use ONE account to defend my position.

You have to resort to disposable accounts to throw away at the end of each argument, that's how badly you lose the debate.:D

Yeah, nothing worse than a bad loser eh hamish:):):):):)

[Deleted User]

Seems to me the bears arguments are returning to what they were like on HPC before the credit crunch. That being that almost any event reported in the news is argued to be the imminent cause of an interest rate rise.

At the moment we, on balance, need inflation. We've struggled to get it, interest rates at record lows and an extra 2.5% VAT and we are still only the VAT increase above what our target would be if the bankers hadn't trashed many of the world's big economies.