Property 50% crash in real terms from top to bottom

whatismoney

chucky wrote: »

Interesting that our first post you were saying that falls will happen for 5 years.

A few posts later "It's looking more likely" and "It is just a prediction".


Sounds like you're not so sure anymore...

How can anyone be sure, this is why the perma propbulls who have been ramping property for so long are so stupid.

So much depends on how long they can postpone interest rates going back up.

DpchMd

whatismoney wrote: »

perma propbulls

The-Joker wrote: »

Face it, the perma propbulls are wrong to keep ramping property will go up even more from here.

The-Joker wrote: »

Not according to the perma propbulls, prices may actually go up as people will have to spend 90%+ of their income on the high rents, so that these Lanlords can keep paying their monthly mortgage payments as they keep going up every year from now on.

The-Joker wrote: »

Not according to the perma propbulls, prices may actually go up as people will have to spend 90%+ of their income on the high rents, so that these Lanlords can keep paying their monthly mortgage payments as they keep going up every year from now on.

Hi The-Joker

System

Do these people realise they do more harm than good to the whole drops argument if they have to create accounts to agree with themselves?

paulmapp8306

Oh dear. Two points really.

1. How can you call a 10 year decline a crash ????? Got to be the slowest motion every.

2. What the OP means, is prices will remain steady for 10 years. So - it will still cost someone the same in mortgage payments whenever they buy, so no real reason to hold off. Also, while inflation is rising - pay rises arnt so much (if at all), so in fact getting on the ladder now while interest rates are low is actually beneficial isnt it?

paulmapp8306

Oh dear. Two points really.

1. How can you call a 10 year decline a crash ????? Got to be the slowest motion every.

2. What the OP means, is prices will remain steady for 10 years. So - it will still cost someone the same in mortgage payments whenever they buy, so no real reason to hold off. Also, while inflation is rising - pay rises arnt so much (if at all), so in fact getting on the ladder now while interest rates are low is actually beneficial isnt it?

chucky

whatismoney wrote: »

This does not make any sense if property is falling in value then property owners are losing out. It is simply not true

I's probably a suggestion to find out the difference between real and nominal house price falls before you post stuff like this.

whatismoney

chucky wrote: »

I's probably a suggestion to find out the difference between real and nominal house price falls before you post stuff like this.

Yes you should.

Are you doubting we have deflation at the moment in the property market? It sounds like you are?

DpchMd

whatismoney wrote: »

Yes you should.

Are you doubting we have deflation at the moment in the property market? It sounds like you are?

What was wrong with the "The-Joker" username?

How can anyone take you seriously now?

ash28

whatismoney wrote: »

The slide in UK house prices will continue for at least five more years until interest rates are back to normal and crush the value of a home by almost 50% in real terms, according to a key index of property price futures. Indications from futures trading on long term property prices shows that the average UK home will not bottom in value until 2017.

If the top was around 2007 for property in the UK, it seems a 10 year bear market will bottom in 2017 when interest rates have normalised and all the repossessions have been cleared out.

We are now around half way through the 10 year bear market in property 2007 to 2017, here in 2012 half way through and almost exactly half way through the 50% crash in real terms.

The slide in house prices will continue for at least three years and crush the value of a home by almost 50% in real terms, according to a key index of property price futures. Indications from futures trading on long term property prices shows that the average UK home will recover its current value only in 2017.

Is this from an old Guardian article from 2008?

It seems oddly similar.

http://www.guardian.co.uk/business/2008/jun/09/housingmarket.houseprices

nollag2006

whatismoney wrote: »

The slide in UK house prices will continue for at least five more years until interest rates are back to normal and crush the value of a home by almost 50% in real terms, according to a key index of property price futures. Indications from futures trading on long term property prices shows that the average UK home will not bottom in value until 2017.

If the top was around 2007 for property in the UK, it seems a 10 year bear market will bottom in 2017 when interest rates have normalised and all the repossessions have been cleared out.

We are now around half way through the 10 year bear market in property 2007 to 2017, here in 2012 half way through and almost exactly half way through the 50% crash in real terms.

Hi Graham!