Debate House Prices


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MSE News: UK house prices reach new all-time high

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"House prices increased to another new all-time high of £188,949 on average in July, Nationwide has reported"...
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UK house prices reach new all-time high

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  • HAMISH_MCTAVISH
    HAMISH_MCTAVISH Posts: 28,592 Forumite
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    edited 31 July 2014 at 5:45PM
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    Proving quite definitively that you cannot cure a housing shortage through restricting lending.

    Mortgage rationing continues to be a major problem, with the number of approvals still at levels well below historical averages, despite the slight recent improvement.

    UK-mortgage-approvals.jpg

    Yet house prices have now soared to new highs anyway, along with rents, as building has fallen to 100 year lows.

    Of course it's very good news indeed for those who saw the shortage building and positioned themselves accordingly......

    Not so much for the young FTB-s that continue to be mortgage excluded from the market.
    “The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.

    Belief in myths allows the comfort of opinion without the discomfort of thought.”

    -- President John F. Kennedy”
  • Pincher
    Pincher Posts: 6,552 Forumite
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    The Evening Standard today Thursday 31st July 2014, page 4.


    "By 2020, the average home in the capital will cost an extraordinary £832,000 , according to an analysis by the House of Commons library."


    Library? What does that mean? The librarian did a study? Some civil servant did a study and put a copy in the library?


    Well, not selling for another six years, then.
  • padington
    padington Posts: 3,121 Forumite
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    Pincher wrote: »
    The Evening Standard today Thursday 31st July 2014, page 4.


    "By 2020, the average home in the capital will cost an extraordinary £832,000 , according to an analysis by the House of Commons library."


    Library? What does that mean? The librarian did a study? Some civil servant did a study and put a copy in the library?


    Well, not selling for another six years, then.

    Doubling down is the order of the day.
    Proudly voted remain. A global union of countries is the only way to commit global capital to the rule of law.
  • Sibley
    Sibley Posts: 1,557 Forumite
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    Apart from maybe central London.
    I have yet to see any area where FTB are priced out.
    We love Sarah O Grady
  • anam600
    anam600 Posts: 8 Forumite
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    The prices of house are increased 100% in a year.
  • HAMISH_MCTAVISH
    HAMISH_MCTAVISH Posts: 28,592 Forumite
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    Sibley wrote: »
    Apart from maybe central London.
    I have yet to see any area where FTB are priced out.

    On the whole they're not priced out...... Yet.

    They are mortgage excluded.

    In fact for the lucky few that can access mortgage finance in this time of mortgage rationing, the total cost of buying a house, including mortgage interest, has rarely been cheaper than it is today.

    halifax-mortgage-affordability-data.png

    But more and more of them will be priced out unless we radically increase lending to historically normal, prudent, and sensible levels of 100,000+ mortgages a month, and can therefore start building a lot more houses.

    UK-mortgage-approvals.jpg
    “The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.

    Belief in myths allows the comfort of opinion without the discomfort of thought.”

    -- President John F. Kennedy”
  • Pincher
    Pincher Posts: 6,552 Forumite
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    Downtown Abbey is not just nostalgia, it's the future.


    The lucky ones are the ones that get jobs with live-in accommodation.
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