MSE News: Nationwide: House prices slip back

saverbuyer

MobileSaver wrote: »

Just to be clear, you are trying to extrapolate from an area that accounts for 1.5% of UK house sales to prove that the Nationwide is wrong and that in fact the UK housing market is crashing after all? :rotfl:

Brit suggested prices outside London were falling. You suggested he was "on another planet". It is fact that in U.K. regions outside London prices are falling and have done significantly. In some regions by 60% since 2007.

Out of interest where did you get the 1.5% figure?

ukcarper

saverbuyer wrote: »

Brit suggested prices outside London were falling. You suggested he was "on another planet". It is fact that in U.K. regions outside London prices are falling and have done significantly. In some regions by 60% since 2007.

Out of interest where did you get the 1.5% figure?

According to Land Registry the biggest drop since 2007 in England and Wales was just over 20% in the North East. Last year the only regions to fall were North East, North West, Wales and Yorkshire/Humberside.

Not Sure how much Scotland has Fallen.

Turnbull2000

jobdone1 wrote: »

Is this report for real, wages and house prices :mad: lets see adverage house price in excess of £160000 right so by old money 3.5 x your wage of what most earn min wage £6.19 x by adverage 40 hours = £12875 p/year so the mortgage on that is approx £45000. that will be a shed then.

Disagree entirely. Aside from the absurd notion of using min wage as a salary benchmark, historic house pricing standards are completely obsolete. 3.5 x salary will never return due to borrowing ability rising substantially. Using £20,000 salaries as the basis of an example…

30 years ago – 3.5 x single earner, 10% rates = can borrow £70,000

20 years ago – 3.5 single or 2.5 time duel income, 8% rates = can borrow £100,000

10 years ago to present – Multiples abolished, affordability criteria introduced, interest only allowed, 5% rates = can afford £160,000

Present to future – as previous, but now topped up with the bank of Mum and Dad, inheritance, shared-ownership, Lend-a-Hand type mortgages, large scale competition from investors.

Not a healthy direction to take, but you should all realise by now the government/industry solution to rising house prices will always be to help people borrow more, not to keep prices down.

Pincher

Evening Standard page 27, 2nd October 2012

"London house prices have risen through the double dip recession, Nationwide Building Society data reveals today.

The cost of the average home in the capital is 2.1% higher than a year ago, at £301,168.

Across Britain, values fell 1.6 per centto an average of £163,910.

The biggest rises were in Wandsworth, Brent, Ealing and Islington, at eight per cent."

8% on £300k is £24k. For Islington, properties are more like £600k, so they just made about £50k in Islington. It's the 1980s again.

dinofabio

houses in good areas have held their prices where I live (midlands). The opposite applies to houses in poor areas.

The differential between the two is widening

MobileSaver

saverbuyer wrote: »

Brit suggested prices outside London were falling. It is fact that in U.K. regions outside London prices are falling and have done significantly.

Out of interest where did you get the 1.5% figure?

That's not what Brit said. Brit said prices were crashing "in most of the country" which is of course total nonsense, at least in the country on planet earth in which I reside.

It is a fact that some regions outside London are falling - why do HPC fanboys have to twist the truth to fit their agenda?

The Northern Ireland Executive reported there were 2,600 sales in NI in the first quarter of 2012 compared to the Land Registry reporting an average of approximately 55,000 sales per month in England and Wales so I make that roughly 1.5%.