MSE News: UK house prices rise to record high, says Halifax

mayonnaise

Graham_Devon wrote: »

Glorious, simply glorious.

I just hope the cost of gas triples, food quadruples and petrol doubles. I think I may be asking too much if I hope for my council tax bill to double too. Oh, and it would be quite nice if a bog standard car came in at an average price of 40k.

Here's hoping for the good times to roll, anyway.

mwpt wrote: »

Let the good times roll. My dream house just got further out of reach but the media tells me this is good so I groin thrust. Here's hoping to record increases in utility bills, council tax and transport costs next. :beer:

You and Devon bloke should learn the difference between an asset and a consumable.

westernpromise

mwpt wrote: »

Let the good times roll. My dream house just got further out of reach but the media tells me this is good so I groin thrust. Here's hoping to record increases in utility bills, council tax and transport costs next. :beer:

Everyone is short utility bills, council tax and transport costs but most people are long property. So increases in the former are universal negatives, whereas there are potential beneficiaries from inflation of the latter.

There aren't really because inflationary gain is not gain, but it's liberating in a way deflation isn't.

mwpt

mayonnaise wrote: »

You and Devon bloke should learn the difference between an asset and a consumable.

Rather than patronise maybe you could explain to me why it's a good thing that the house I ultimately want to live in keeps getting further out of reach.

bike_saving_expert

Well it depends on your situation if your the guy owning the dream house your kinda chuffed as your equity starts soaring. If your the guy looking to buy the dream house from said owner who also has 6 other people also wanting to buy, competing to pay him the most money. (kinda sums up the market)

Out,_Vile_Jelly

I'm in the process of remortgaging. Since buying my house two years ago, it has apparently gone up in value by a frankly ridiculous ~30%. Of course that means houses in nicer parts of town have gone up even more out of my reach.

cells

Carl31 wrote: »

And they're still saying there's no inflation. Of course there is, it's just all bring channeled into housing, which of course means demand is down for everything else, people can't afford to splash out on ever increasing houses as well as luxuries, like basic food stuffs

In half the country housing is the same price or cheaper than it was 10 years ago in nominal terms.

For these people, the cost of buying a home is substantially cheaper than a decade ago because they earn more and 6% mortgages are now closer to 2%

So they can buy a lot more food stuffs should they wish.

cells

Pincher wrote: »

All this QE is going to blow up in our faces eventually.

Against sterling, the Yen was 120 in 2012, now it's 185!

Assuming the price of a house hasn't changed in Yen, that means a £300k house in 2012 is now worth ~£200k!
People from Taiwan have been buying properties in Japan like hot cakes.

Chinese people have swarmed all over Japan this year, because the Yen has plummeted. Over the National holiday in early October, there were reports of Chinese tourists empting shops. UNIQLO clothing is popular because you can buy loads and still pack them into one suitcase.

Abenomics, soon to be rebranded as Corbynomics.

you got that the wrong way around, a pound would buy you 120 yen a few years ago it now buys you 170 so either houses in the north which are the same price they were a decade ago are about 40% more expensive if you are Japanese and pay in yen

Japan biggest export is cars. If the Americans do self drive tech and leave the japs behind Japan is going to be seriously screwed. Forget 170 yen to the pound think 300 yen to the pound

mwpt

cells wrote: »

In half the country housing is the same price or cheaper than it was 10 years ago in nominal terms.

For these people, the cost of buying a home is substantially cheaper than a decade ago because they earn more and 6% mortgages are now closer to 2%

So they can buy a lot more food stuffs should they wish.

Why aren't they buying?

HAMISH_MCTAVISH

mwpt wrote: »

Why aren't they buying?

Mortgage Rationing.

cells

mwpt wrote: »

Why aren't they buying?

because all the possible stock is already 100% (or close enough) owner occupied*

ownership is lower in the south and higher in the north and midlands. It is the lowest in London.

The reason is because mortgage rationing hits higher priced area harder





* for the one midlands town I am familiar with