Anatole Kaletsky - Osborne's house price boom likely to work

sheffield_lad

its working up here in Sheffield, agents are starting to worry over the lack of stock on their books I did another property again over the weekend with 28 viewings booked in for the weekend. Another seller had his property valued 6mths ago and again recently and told to stick a further £10k (7.5% 'ish') on the ask and he has already had a handful of viewings after week one.

Graham_Devon

sheffield_lad wrote: »

its working up here in Sheffield, agents are starting to worry over the lack of stock on their books I did another property again over the weekend with 28 viewings booked in for the weekend. Another seller had his property valued 6mths ago and again recently and told to stick a further £10k (7.5% 'ish') on the ask and he has already had a handful of viewings after week one.

So it's been up for sale for 6 months, no one has bought, and the wisdom is to increase the price by 7%?

purch

Graham_Devon wrote: »

and the wisdom is to increase the price by 7%?

Wisdom and House Prices.

If you haven't noticed that there is no wisdom in house prices by now, you never will :eek:

sheffield_lad

Graham_Devon wrote: »

So it's been up for sale for 6 months, no one has bought, and the wisdom is to increase the price by 7%?

No he did not put it on until last week the previous time he was getting feelers for selling and an idea of the price.

It may be down to areas and it's South Yorkshires time to spring into life for a while or play catch-up but I have not seen the market this buoyant since 2007.

Graham_Devon

sheffield_lad wrote: »

No he did not put it on until last week the previous time he was getting feelers for selling and an idea of the price.

It may be down to areas and it's South Yorkshires time to spring into life for a while or play catch-up but I have not seen the market this buoyant since 2007.

Fair enough. When you said to add money to the askign price, I assumed the seller was already selling.

However, seems somewhat bizzare, as the average price in South Yorkshire has fallen just shy of a grand in the last 6 months and sales volume is touching all time lows since 2007. (land registry).

And 28 viewings in a weekend? For a normal house? Come on now...theres 48 hours in a weekend. It's unlikely you are working Sunday (hence on here). So how do you fit 28 viewers into one saturday, considering you have a timeframe of around 10 hours?

Turnbull2000

Graham_Devon wrote: »

So it's been up for sale for 6 months, no one has bought, and the wisdom is to increase the price by 7%?

Umm no, they had it valued six months ago with a view to selling. However, market conditions are such that the value has risen by 7% in that time.

I'm seeing similar in my area. A nice looking terrace around the corner sold for 220K in 2011. It's up for sale again at 270K with no improvements. And why not? With interest rates held down (until 2020 at least) and Help to Buy/Funding for Lending being slowly priced into the market, it's only natural that values respond accordingly. People are panicking that house prices are set to surge again, so I give just a couple of week before that terrace is snapped up. Decent properties are hard to come buy, as many people are renting out as a pension plan instead of selling.

Whoever buys it can quite reasonably expect a value in excess of 300k in three or four years time.

sheffield_lad

I can only tell you what I am seeing, it started to get busy back in April and has got even busier over the last few weeks. There is normally an increase over the spring period but as I said earlier some agents are starting to run low on saleable stock.

I know of another colleague in the Swindon Wilts area who has also come across a similar increase lets see what the next set of data points to.

gazter

Graham_Devon wrote: »

You miss the point.

Council housing. HA housing.

There is great demand for this. Theres nothing to "sell". Theres no "loss" to be made.

Great demand for something that has its capital entirely paid for by taxpayers and requires a rent subsidy in perpetuity. Plenty of "loss" there.

globalds

gazter wrote: »

Great demand for something that has its capital entirely paid for by taxpayers and requires a rent subsidy in perpetuity. Plenty of "loss" there.

Rent subsidy ?

On council houses ?

Do you really think the government lost money on the council house concept ?

Graham_Devon

gazter wrote: »

Great demand for something that has its capital entirely paid for by taxpayers and requires a rent subsidy in perpetuity. Plenty of "loss" there.

And housing benefit is the exact same....apart from the taxpayer owns literally nothing.