House prices fall for first time in seven months

mystic_trev

House prices have fallen for the first time in seven months in July as the number of potential buyers shrinks while the volume of homes going on the market rises, said Hometrack.

http://www.telegraph.co.uk/finance/economics/houseprices/9437532/House-prices-fall-for-first-time-in-seven-months.html

Interestingly....

Prices fell by 0.1pc in July after being flat in the previous month, with activity slowing down notably in London and the South East, which have been supporting the market and keeping average prices up.

angrypirate

Its the weather / recession / olympics / Jubilee / er something innit?

shortchanged_2

angrypirate wrote: »

Its the weather / recession / olympics / Jubilee / er something innit?

It could well be but I've got a feeling that it's because of something simple like...........





houses are still overpriced.

angrypirate

shortchanged wrote: »

It could well be but I've got a feeling that it's because of something simple like...........





houses are still overpriced.

Dont be stupid. Overpriced houses are a sign of a strong economy and are good for [STRIKE]everyone[/STRIKE]Sibley and Hamish

wotsthat

shortchanged wrote: »

It could well be but I've got a feeling that it's because of something simple like...........

houses are still overpriced.

How come thousands of buyers and sellers every month seem to be agreeing between themselves what a reasonable price is?

Looking at the OP house prices have risen for six out of the last seven months and the only fall we have is 0.1%. Hardly a sign that houses are overpriced.

shortchanged_2

wotsthat wrote: »

How come thousands of buyers and sellers every month seem to be agreeing between themselves what a reasonable price is?

Looking at the OP house prices have risen for six out of the last seven months and the only fall we have is 0.1%. Hardly a sign that houses are overpriced.

Perhaps because a large number of them are cash buyers so don't really have the affordability issues like most.

moneyinmypocket

Calm down calm down calm down

We must expect there to be a small drop every so often. It's bound to happen after all the rain followed by summer time, Olympics etc

House prices will rise, it's a supply and demand issue

FTBFun

shortchanged wrote: »

Perhaps because a large number of them are cash buyers so don't really have the affordability issues like most.

This isn't mentioned in the article - do you have another link elsewhere?

wotsthat

shortchanged wrote: »

Perhaps because a large number of them are cash buyers so don't really have the affordability issues like most.

???

There are over 600,000 property transactions each year. That's 600,000 transactions where buyers and sellers agree what a reasonable price is. Obviously they neglected to check the shortchanged index.

Cash buyers overpaying is nonsense.

shortchanged_2

FTBFun wrote: »

This isn't mentioned in the article - do you have another link elsewhere?

From the BBC website;

'Despite this drop in lending activity, house sales across the UK rose in June, according to recent figures from HM Revenue & Customs (HMRC), with sales across the first six months of 2012 11% higher than a year earlier.
The apparent contradiction can be explained by the fact that more than 40% of home sales take place without the buyers needing to take out a mortgage, so completed sales can rise even if borrowing falls.'


So it looks like many house sales are as I expected to be either cash buys or people are swapping like for like value houses i.e moving from one area to another into very similarly priced houses, porting.

And bearing in mind the total number of sales is still at a very low level.

noddynoo

It is all about to go tits up Hopefully. Every house I have viewed that has gone on to sell has become re available within weeks. Very little completing