So, House Prices can't fall uh?

Melissa177

I can't help but think there are certain people on this forum who know that journos read this site, and want people to start believing there is going to be crash.

ManAtHome

oldwiring wrote: »

Back in my youth days of banking, it was drummed in to us that land was good security.

Wasn't an American bank then..?

oldwiring

ManAtHome wrote: »

Wasn't an American bank then..?

Waddevur yur gedding at Pardner. Sure wernt one of em durned yankee things

tomstickland

Melissa177 wrote: »

I can't help but think there are certain people on this forum who know that journos read this site, and want people to start believing there is going to be crash.

The journalistic equivalent of asking the man down the pub for their economic predictions though. Not that a well informed member of the public can't make a sound judgement.

A propery price fall would affect me since I bought my first place this time last year. However, the argument "they've been saying it will crash for 5 years and it hasn't, therefore they are wrong and it'll never happen" irritates me. Being wrong so far doesn't mean that it can't happen.

mystic_trev

Better go and get a BTL then!

Buyer activity has pulled back a little over fears that we may have seen the top of the market.

http://news.bbc.co.uk/1/hi/business/6945222.stm

sarkin

interesting comments

Generali

As some sources seem to be showing house prices rising and others falling, it looks like everyone was right for a change.

SquatNow

oldwiring wrote: »

Back in my youth days of banking, it was drummed in to us that land was good security. Reason: its supply was limited and no more could be manufactured. Houses cannot exist without land,so, unless there is a decrease in population, land will always be in demand and value will always trend upwards. IMO short term reversals do not belie that fact.

This is correct, in the long term mean land prices rise in line with inflation.

In the short-medium terms prices fluctuate wildly in an 18 year cycle.

Buying at the Top of a cycle with CASH is not a disaster, you will just have to wait 18 or 36 years for prices to recover, just to get back what you put in.

The question is, how many people are prepared to wait 18 or 36 years?

Most people would rather buy at the bottom and have rapid growth in their "investment" and then sell at the top.

For those of you too stupid to realise... we just passed the top and are on the way down. We should reach the bottom in about 7-8 years.

Generali

SquatNow wrote: »

In the short-medium terms prices fluctuate wildly in an 18 year cycle.

They don't. You're wrong and you have no evidence for this. I've called you on this several times and you ignore me.

adr0ck

i kinda agree with squatnow (did i just say that)

however i think were in for a market price slowdown where prices on average do not go up or go down over the next 5 years...they kinda just stay where they are......1% up 1% down 1% up 1%up 1 % down etc etc etc

kind like interest rates for the next 5 yrs 0.5 down 0.25 up 0.25 down 0.25 up etc etc ...... so in other words just kinda staying at 4.50 - 5.75

and i base this on nothing

except a bit of supply and demand on house prices which is why i cant really see them coming down

note: none of my comments include anything to do with flats