The Great British public: still hopelessly optimistic on house prices

joe_blotts

There is a view that the British are a generally pessimistic lot. But look at the latest survey out from Zoopla and you will see that it simply isn’t so. We are, in fact, a stunningly optimistic population.

What makes me say this? The fact that 65% of us think that house prices will rise in the next six months.
Given that house prices and asking prices are falling in both nominal and real terms; that the economy is a seemingly hopeless mess (the IMF has just cut our growth forecast for the year to a pathetic 0.2%); that the mortgage market is as tight as ever (something the same homeowners accept – only 10% of them think that finding a mortgage has become easier); and that estate agents are reporting two sellers for every buyer, this is heroic stuff.

In the face of all the facts, the British population might be prepared to slash a little off their nutty asking prices every now and then, but they aren’t giving up on the bubble-price dream

http://www.moneyweek.com/blog/british-public-uk-house-price-optimism-22900

Just like some of the posters on this forum:rotfl:

DpchMd

Didn't the Land Registry report rises for the last 2 months?

What's so crazy about the possibility of house prices rising over the next 6 months?

chewmylegoff

Aren't all the indices showing YoY rises in average house price?

the_flying_pig

shame that they describe predicting inflation as "optimistic".

DpchMd

chewmylegoff wrote: »

Aren't all the indices showing YoY rises in average house price?

Maybe we're the "hopeless" ones. You know, the ones that look at facts.

It's very possible that house prices will fall over the next 6 months, but it's also very possible that they'll rise as we have seen for the past 12 months, with most of the recognised indices now showing year-on-year increases.

To create a thread calling those who expect house prices to rise over the next 6 months "hopeless" is a little bit strange.

robmatic

Moneyweek: still hopelessly delusional on house prices.

PasturesNew

I found a lovely little house to buy yesterday. Nice, compact, bijou .... went to copy the url for my file of "nice houses" and I spotted it's 50% more than I've got

GeorgeHowell

the_flying_pig wrote: »

shame that they describe predicting inflation as "optimistic".

Quite right, optimism only applies legitimately to those in negative equity, and foolishly to those who measure their personal wealth and success by the nominal value of the property that they own and occupy. For those trying to get on the ladder or move upmarket optimism means prices not going up.

Conrad

joe_blotts wrote: »

the economy is a seemingly hopeless mess (the IMF has just cut our growth forecast for the year to a pathetic 0.2%);

/QUOTE]




Why is a growing economy hopeless?
Are we entitled to a growing economy by devine right?

RenovationMan

PasturesNew wrote: »

I found a lovely little house to buy yesterday. Nice, compact, bijou .... went to copy the url for my file of "nice houses" and I spotted it's 50% more than I've got

You should flood the forum with 'unrealistic/deluded sellers' threads, stomp about and generally make a lot of noise about how unfair it all is.

You might also want to blame 'boomers' while you're at it. Thy caused all of the problems, not Brown and Blair.

rakingpapers

I'm pessimistic that house prices will increase. I would like them to fall as a first time buyer but think that the government will stop them from falling by eroding my savings.