In depth look at the housing market

moneyinmypocket

brit1234 wrote: »

So nothing about massive easy credit expansion in a race for banks to get as much of the mortgage market as possible and the massive fraud as well?

If it is all about supply and demand and houses are in short supply then why are prices falling?

To be fair the world has going through the worst times economically - and house prices in some areas have RISEN m, stayed same or slightly decreased.

joe_blotts

brit1234 wrote: »

So nothing about massive easy credit expansion in a race for banks to get as much of the mortgage market as possible and the massive fraud as well?

If it is all about supply and demand and houses are in short supply then why are prices falling?

According to emptyhomes there were 720,000 empty homes in the UK in 2011. Rightmove recently reported 30% more houses coming to Market than registered buyers and When I look at the "homes for Sale/rent' paper in my local town, there's 30 pages of them, hardly a shortage. Perhaps a shortage of affordable houses yes as if they were priced cheap enougth they would sell quickly as lots of people want to buy a house but just can't afford it. Houses are over priced relative to earnings.

System

Blimey I thought housing shortage deniers died out in 2010.

joe_blotts

Rightmove alone has over 1 million properties for sale. How exactly is that a shortage?

homelessskilledworker

joe_blotts wrote: »

According to emptyhomes there were 720,000 empty homes in the UK in 2011. Rightmove recently reported 30% more houses coming to Market than registered buyers and When I look at the "homes for Sale/rent' paper in my local town, there's 30 pages of them, hardly a shortage. Perhaps a shortage of affordable houses yes as if they were priced cheap enougth they would sell quickly as lots of people want to buy a house but just can't afford it. Houses are over priced relative to earnings.

Out of all the data on that report the one that shocked me the most that I was personally unaware of(even though I thought it a slight problem) was how many interest only mortgages are out there without repayment vehicles. As each year passes and we we get no house price growth then this becomes a bigger concern.
If there was ever any evidence(and there is loads besides) that we are living on the already maxed out credit card then this is it.

System

joe_blotts wrote: »

Rightmove alone has over 1 million properties for sale. How exactly is that a shortage?

Someone put the facepalm up for me.

joe_blotts

Joeskeppi wrote: »

Someone put the facepalm up for me.

That's not an answer. I just don't get it, how can there be a shortge when there are so many empty and for sale? Isn't that a bit like an electrical wholesaler claiming there's a shortage of 42" tv's while admitting there's a million units for sale on the market?
If I'm missing something kindly explain it. thanks

System

Each of those properties has someone living in it, when it's sold, someone else will be living in it. Net result of property available to those without a property = 0.

ukcarper

joe_blotts wrote: »

According to emptyhomes there were 720,000 empty homes in the UK in 2011. Rightmove recently reported 30% more houses coming to Market than registered buyers and When I look at the "homes for Sale/rent' paper in my local town, there's 30 pages of them, hardly a shortage. Perhaps a shortage of affordable houses yes as if they were priced cheap enougth they would sell quickly as lots of people want to buy a house but just can't afford it. Houses are over priced relative to earnings.

If you read further you will see that only 350,000 have been empty for more than 6 months.

ess0two

Joeskeppi wrote: »

Each of those properties has someone living in it, when it's sold, someone else will be living in it. Net result of property available to those without a property = 0.

You answered too early,could have had some fun on this one.