House Price Gains 'strongest in 6 years'

HAMISH_MCTAVISH

House prices rose at their strongest rate in almost six years last month rising across almost a third of the country, figures released today reveal.

Prices in 31 per cent of all postcodes in England and Wales grew, marking the highest proportion recorded since September 2007 as improved market activity spread beyond London, property analysts Hometrack found.

Average prices increased by 0.4 per cent in June, matching the growth seen in May which was the highest increase seen in a single month since June 2007.

Only 3.1 per cent of postcodes saw house prices fall, representing the smallest share seen for three years.

http://www.thisismoney.co.uk/money/mortgageshome/article-2352212/Hometrack-House-prices-make-strongest-gains-years.html#ixzz2Xs6LxFjo

:beer:

HAMISH_MCTAVISH

And also of interest from the article....

Across England and Wales, sellers are achieving around 94.2 per cent of the asking price. The higher this indicator grows above 93 per cent, the higher the likelihood of increases in property prices.

Mr._Pricklepants

sellers are achieving around 94.2 per cent of the asking price.

Good to remember when the usual suspects regurgitate the "haha it's only asking prices, LOLZ!" mantra.

shortchanged_2

Meanwhile from the same website. http://www.thisismoney.co.uk/money/mortgageshome/article-2348788/Bank-England-Homeowners-30s-40s-owe-mortgage-rates-rise.html

From the horses mouth. Does this mean that everything is all rosy in overleveraged land and that things will turn out fine.

While we have ultra low interest rates we are always at risk of another property boom but the problem is that the BoE needs the option to raise interest rates for other reasons than mortgage rates.

Looks to me as if the housing market is going to cause a serious problem in the future with the amount of debt involved.

Graham_Devon

shortchanged wrote: »

Meanwhile from the same website. http://www.thisismoney.co.uk/money/mortgageshome/article-2348788/Bank-England-Homeowners-30s-40s-owe-mortgage-rates-rise.html

From the horses mouth. Does this mean that everything is all rosy in overleveraged land and that things will turn out fine.

While we have ultra low interest rates we are always at risk of another property boom but the problem is that the BoE needs the option to raise interest rates for other reasons than mortgage rates.

Looks to me as if the housing market is going to cause a serious problem in the future with the amount of debt involved.

They will just work more hours. Didn't you know?

They will also cut back on buying anything in order to pay the rent.

Don't ask me where this extra employment is going to come from as everyone is cutting back from buying everything in order to pay housing costs. Apparently it just happens, people get by...employers will increase employment right at the point their incomes decrease.

There hasn't been an answer to this annoying little question. The only answer given is that asking such a question means you worry to much and are muddling the situation beyond the comprehension of half the forum.

Mr._Pricklepants

shortchanged wrote: »

From the horses mouth. Does this mean that everything is all rosy in overleveraged land and that things will turn out fine.

Graham_Devon wrote: »

They will just work more hours. Didn't you know?

Working extra hours or eating less is an option, but I imagine the majority of finance literate mortgage holders would do something less dramatic like;

wotsthat wrote: »

I hope Ray Boulger is right about June 2013 being when fixed mortgage rates hit rock bottom - that's when my 5 year fix started:T

What are YOU doing to shelter against those impending rate rises, Graham?

Ashingtonian

Impending rate rises? Four years at 0.5% and counting. Would the BOE after talking to the government dare raise them again before the next election when it could tip many over the edge?

IveSeenTheLight

Graham_Devon wrote: »

They will just work more hours. Didn't you know?

They will also cut back on buying anything in order to pay the rent.

Don't ask me where this extra employment is going to come from as everyone is cutting back from buying everything in order to pay housing costs. Apparently it just happens, people get by...employers will increase employment right at the point their incomes decrease.

There hasn't been an answer to this annoying little question. The only answer given is that asking such a question means you worry to much and are muddling the situation beyond the comprehension of half the forum.

Graham, you might find these links useful

UK business confidence 'at six-year high'

UK manufacturing growth at two-year high

grizzly1911

Ashingtonian wrote: »

Impending rate rises? Four years at 0.5% and counting. Would the BOE after talking to the government dare raise them again before the next election when it could tip many over the edge?

So it is for political rather than economic reasons now - interesting.:think:

grizzly1911

IveSeenTheLight wrote: »

Graham, you might find these links useful

UK business confidence 'at six-year high'

UK manufacturing growth at two-year high

Time for wage inflation next then followed by?

CLAPTON

grizzly1911 wrote: »

So it is for political rather than economic reasons now - interesting.:think:

well, these decisions should be political as one would prefer to live in a democracy rather than that decided by a unaccountable quango