House price cuts helped sales surge by nearly 10pc last month

joguest

Pimperne1 wrote: »

Or the market is impossible to read or predict due to its diversity.

The market is impossible to read when prices are going down!

joguest

HAMISH_MCTAVISH wrote: »

Actually, the article in the OP states exactly that.

LSL:rotfl::rotfl::rotfl::rotfl::rotfl::rotfl::rotfl::rotfl::rotfl:

Could it be, could it be.... The same bunch that come up with the rent ramping articles every month.

Pimperne1

joguest wrote: »

Prices are going down because buyers are capitulating! You heard it here first.

Is that "going down" in real terms or the £500 over a year from Nationwide stats?

HAMISH_MCTAVISH

joguest wrote: »

Prices are going down because buyers are capitulating.

No sales volumes are increasing because lending is improving.

But if buyers were convinced prices would be falling significantly, they'd hardly be buying now would they.....

Hence it's clear buyers are capitulating.

Besides, a 0.3% fall after 3 months of rises is little more than statistical noise.

HAMISH_MCTAVISH

joguest wrote: »

LSL:rotfl::rotfl::rotfl::rotfl::rotfl::rotfl::rotfl::rotfl::rotfl:

Could it be, could it be.... The same bunch that come up with the rent ramping articles every month.

Or the same bunch that commission the LSL-Acadametrics index you've quoted.:D

joguest

HAMISH_MCTAVISH wrote: »

Or the same bunch that commission the LSL-Acadametrics index you've quoted.:D

There's a difference between the figures they come up with and the spin they come out with.

You were quoting the spin.:D

Really2

joguest wrote: »

Back to all time peak levels! Even by your standards, McSpammish, that's absurd.

Higher volumes/lower prices = increase in supply.

Sellers are capitulating because they fear further price falls ahead.

But supply is falling.

Supply to the housing market fell last month, the Royal Institution of Chartered Surveyors (RICS) said. Five per cent more surveyors reported that supply of property fell rather than rose, in September.

So you have to go on the facts. lower prices in 2008 meant supply dried up also.

HAMISH_MCTAVISH

Really2 wrote: »

Supply is falling..

Indeed it is.

Lending is increasing so demand/transactions are up this month, but supply is now starting to fall again.

Not looking good for the bears.;)

joguest

Really2 wrote: »

But supply is falling.


So you have to go on the facts. lower prices in 2008 meant supply dried up also.

How is supply falling exactly? If prices are going down and volumes are going up it shows that the market is dominated by an increase in supply (i.e. the supply curve shifts to the right in the case of increased forced selling, or becomes more elastic in the case of a change in sentiment, effectively meaning an increase around the current equilibrium position).

In 2008 supply did not change (appreciably). The supply curve is very elastic, meaning that a dramatic drop in demand (big shift in the demand curve) led to volumes dropping at a higher rate than prices.

Supply is not the same thing as sales volumes, or the number of houses on the market.

joguest

HAMISH_MCTAVISH wrote: »

Indeed it is.

Lending is increasing so demand/transactions are up this month, but supply is now starting to fall again.

Not looking good for the bears.;)

I don't care who it looks good for, but higher volumes with lower prices = increased supply.