MSE News: House prices climbed in October, says latest report

DaddyBear

Dirk_Rambo wrote: »

now admitedly my maths isnt very good. but if you get a big fall of 4 per cent and then arise of 2 percent you still have a big fall. im not wrong am i

Yes, but when you get an errant figure like last month it can take several months to correct, I wouldn't be surprised if next month is positive too.

Really2

undetterred wrote: »

+1 for the massive grammar improvement.

I just hope Carol can pull her self out of the depths of being possessed by Dirk.

Should we send an exorcist or an Estate agent?:D

AD9898_2

chucky wrote: »

as always a balanced post (well most of the time anyway....)

the key word is slightly which means that if you get a good mortgage rate and are able to repay debt quickly it counteracts any fall in house prices.

I try to be balanced, although my predictions for the future remain pretty scary (energy etc), however you have to live your life and get the most out of each day, whatever that may mean for each individual.

My gut feeling on house prices is no crash but a steady erosion with inflation. The banks and in turn the economy can't take a crash of large proportions and government/BoE policy will reflect this.

You can see this on a small scale with the Wilsons, they are too big to fail hence they've been given (I believe) preferential treatment by their lenders.

Batchy

I think what people miss the point about house prices, is its different to other 'Investments'

there are many things in life you Have to do otherwise your health would/could suffer!

Eat
Sleep
Drink
Rest
Warmth
Cleanliness
Storage
Entertainment

A house helps you to achieve these things along with extra cash.

if you buy gold, it may perform better, but, it wont help the above and appreciate in value.
If you buy shares, yes they may appreciate in value, and give you a small income, but unless you have a substantial investment it wont house you. And if it did, it would take a hell of a lot of prior work, and saving.
If you leave your money in the bank, generally, you are losing pace with inflation. Simple as that really.

The only asset, which can currently satisfy the above requirement, can amalgamate your normal rent payment to pay down debt. And givs you the ability to use leaverage to your advantage is housing, there is no other investment vehicle really that works in the same way and offers the same benefits. Historically, whether you like it or not houses have outperformed or kept pace with inflation, its the safest bet at the moment in my opinion, and you can get on with the rest of your life while your doing it. (ie, paying a mortgage down)

lemonjelly

Really2 wrote: »

Sorry, not aimed at you. Just the usuals who turn 1 months figures in to a bull vs bear battle.

The site is little to do with house prices now, and analysing the date. It is more to do with personal battles.

To be fair, both "sides" (for want of a better word) have their members who do this.

Really2 wrote: »

Wonder if the same people calling last month figured gospel and the and the start of the crash will be calling this the start of the boom.

What a surprise, the biggest fall is followed by the biggest rise for 1year +.

I take it the Halifax has lost its credibility (again) with this month.

To me this screams the Halifax are not doing many transactions as their data is so much wilder than the nationwide and LR.

This presupposes that the Halifax had credibility in the first place...;)

My take, the market appears to be going through change in an evolutionary manner, rather than a revolutionary one. To me this should minimise distressed sellers, in that in past crashes we have had large swathes of people suddenly having to sell. This time, it is a more gradual change. But it appears the trend is downwards.

Be interesting to see if setmefree's belief in a spring bounce comes to fruition. My personal take is that it is unlikely. If it does, it will be small.

Graham_Devon

I got a month right

Knew is would be up, think my guess was off though, at 0.9%!

With such a large fall last month, it would be one hell of a surprise if we got another fall this month,

undetterred

Really2 wrote: »

I just hope Carol can pull her self out of the depths of being possessed by Dirk.

Should we send an exorcist or an Estate agent?:D

Perhaps Dirk can pull himself out of Caroll.

shortchanged_2

It's pretty obvious that London/South East alone is distorting these 'national' figures. Obviously as London is such a large proportion of the market it is big enough to distort the figures for the UK as a whole.
I think most people who live outside these areas will generally admit (Hamish aside in Aberdeen) that house prices in their areas are seeing quite substantial drops.

chucky

shortchanged wrote: »

It's pretty obvious that London/South East alone is distorting these 'national' figures. Obviously as London is such a large proportion of the market it is big enough to distort the figures for the UK as a whole.
I think most people who live outside these areas will generally admit (Hamish aside in Aberdeen) that house prices in their areas are seeing quite substantial drops.

so why didn't they distort them last month when they fell 3.4%???

neas

i agree stagnation is the longer term solution to overpriced houses. Just let inflation go ahead of the general rise of houses and over time they will be 'cheaper'... meaning people dont get repossessed etc.

Still think houses will fall a bit over next year or two but you gotta wait one to years for a 10-15% drop in my opinion.. and even then house prices might rebound at some point a little. All the while i'll be overpaying my mortgage as i have 'fixed' the 'debt' i own now so no point worrying if my house lost some value or not still got to repay it .