Debate House Prices


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Fears: "Massive global property crash"

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Comments

  • chucknorris
    chucknorris Posts: 10,793 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    lisyloo wrote: »
    Well clearly you don't need to buy somewhere to work in London.

    Quite, and yet she bought it while stating that she thinks that London property will crash.
    Chuck Norris can kill two stones with one birdThe only time Chuck Norris was wrong was when he thought he had made a mistakeChuck Norris puts the "laughter" in "manslaughter".I've started running again, after several injuries had forced me to stop
  • economic
    economic Posts: 3,002 Forumite
    Quite, and yet she bought it while stating that she thinks that London property will crash.

    shes a hypocrite. no idea why people take her and any of the media really so seriously.
  • kabayiri
    kabayiri Posts: 22,740 Forumite
    Part of the Furniture 10,000 Posts
    Quite, and yet she bought it while stating that she thinks that London property will crash.

    I don't see the problem as long as she is not over exposed.

    If people can afford to buy for the long haul then they can ride out any short term recessions.

    I thought this was a "global" thread anyway. Why do we always end up talking about London?

    Being selfish, I'd like some more opinion on Western Canada; Northern California; and Gold Coast of Australia !

    (please...:) )
  • kabayiri wrote: »
    I don't see the problem as long as she is not over exposed.

    If people can afford to buy for the long haul then they can ride out any short term recessions.

    I thought this was a "global" thread anyway. Why do we always end up talking about London?

    Being selfish, I'd like some more opinion on Western Canada; Northern California; and Gold Coast of Australia !

    (please...:) )

    NW England Cheshire too please :D
  • chucknorris
    chucknorris Posts: 10,793 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    edited 4 January 2017 at 2:00PM
    kabayiri wrote: »
    I don't see the problem as long as she is not over exposed.

    If people can afford to buy for the long haul then they can ride out any short term recessions.

    Well she is the editor of MoneyWeak, so you would expect her to be financially savvy, if I held that belief (and I do actually, but not so much crash, I think dip/stall) I would rent in the short term and buy later. Don't forget we aren't talking about her buying the family home, this is a second property, which she describes as a tiny studio flat, mainly to store some clothes and to sleep in when she misses the last train home (she lives in Edinburgh).
    Chuck Norris can kill two stones with one birdThe only time Chuck Norris was wrong was when he thought he had made a mistakeChuck Norris puts the "laughter" in "manslaughter".I've started running again, after several injuries had forced me to stop
  • sann420
    sann420 Posts: 122 Forumite
    Seventh Anniversary 100 Posts Combo Breaker
    I think property prices will crash in London once lucrative jobs start moving out to other EU financial centres such as Frankfurt, Dublin and Amsterdam etc due to Brexit.

    The house price drop will start from inner London and move to the rest of the country. People of inner London are generally wealthy. They can sustain a drop of 25% to their property and say meh. The normal people of London outer boroughs and towns will suffer the most in the long run.

    Once the exodus starts the banks will try to beat their rivals to secure the limited resources at the destination so it will be quickish.

    The brexiteers will keep on chanting: Who buys all the cars? We do , We do.
    I predict these chants will become louder and hollower as the time goes by.
  • TrickyTree83
    TrickyTree83 Posts: 3,930 Forumite
    sann420 wrote: »
    I think property prices will crash in London once lucrative jobs start moving out to other EU financial centres such as Frankfurt, Dublin and Amsterdam etc due to Brexit.

    The house price drop will start from inner London and move to the rest of the country. People of inner London are generally wealthy. They can sustain a drop of 25% to their property and say meh. The normal people of London outer boroughs and towns will suffer the most in the long run.

    Once the exodus starts the banks will try to beat their rivals to secure the limited resources at the destination so it will be quickish.

    The brexiteers will keep on chanting: Who buys all the cars? We do , We do.
    I predict these chants will become louder and hollower as the time goes by.

    All of it probably the case - except the rest of the country part.

    London is an economy unto itself.
  • padington wrote: »
    Money week :rotfl: if you listened to them, you would have no money left, they've been bearish on property for years.

    They've been wrong on every turn, apart from the odd issue when they play devils advocate to their own opinion just so they can cover all possibilities.

    I disagree. My own investments are up by around 42% since the start of 2015 as a result of reading articles in MoneyWeek. Many savers are lucky to see 2.5% over the same timeframe.

    Sure, if you feel differently towards property, shares or other assets, then go ahead and fill your boots, but as this discussion brings together a number of different opinions, I personally believe that London property - at 10.1 times average earnings - is overpriced and due a fall or stagnation. For the remainder of the UK, prices are currently around historical averages, so I see an overall increase in house prices outside London and the South-East, but a softening in London.

    How high house prices go over the next few years depends heavily on inflation and if the Bank of England does anything about countering inflation with higher rates (unlikely as it allowed RPI to peak at over 5% when Mervyn King was in charge).
    Mortgage Feb 2001 - £129,000
    Mortgage July 2007 - £0
    Original Mortgage Termination Date - Nov 2018
    Mortgage Interest saved - £63790.60
    ISA Profit since Jan 1st 2015 - 98.2% (updated 1 Dec 2020)
  • Crashy_Time
    Crashy_Time Posts: 13,386 Forumite
    10,000 Posts Seventh Anniversary Name Dropper
    economic wrote: »
    i have no idea why people take moneyweek and people like her so seriously. it seems this level of incompetence (even arrogance?) is widespread in the media, banks, government literally everywhere. no one has got it right consistently with market forecasts, and so all of it should just be treated as either garbage or entertainment.


    It was OK on the way up though, right..;)
  • Crashy_Time
    Crashy_Time Posts: 13,386 Forumite
    10,000 Posts Seventh Anniversary Name Dropper
    Well she is the editor of MoneyWeak, so you would expect her to be financially savvy, if I held that belief (and I do actually, but not so much crash, I think dip/stall) I would rent in the short term and buy later. Don't forget we aren't talking about her buying the family home, this is a second property, which she describes as a tiny studio flat, mainly to store some clothes and to sleep in when she misses the last train home (she lives in Edinburgh).



    Has she never heard of Travelodge? Would be much cheaper, there is one next to the station :rotfl:
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