House price fall "accelerating"

carolt

Thanks for reposting the articles, Turnbull2000, as they got lost in amongst all the guff on this thread. Very interesting, especially the Telegraph one. As they explain, some people (mentioning no names!) will not get the point no matter what all the financial experts, let alone us ordinary mortals, say.

Dream Breaker's experience seems somewhat irrelevant as s/he apparently bought many moons ago or inherited a property portfolio - either way, it is of little relevance to people thinking about buying NOW.

John_Pierpoint

Count me out of the property market.

ManAtHome

We're still in the pre-xmas/quarter point off el BankO rate euphoria.

Meanwhile, inter-bank rates went up, dropped back a tenth of a percent on the promise of 50 billion quid central bank injection (just another 300 billion needed to get back to normal BoE/interbank difference of around 0.2%), and still the odd 20 billion or so tied up with an almost-insolvent UK bank.

Times will be hard mid-January through to Easter at least, possibly longer if the commercial banks think the 'independent' central banks are stitching them up. I suspect BoE-linked rates will vanish or attract a much larger premium leaving the choice of LIBOR/SVR rates or fixed rates with increasing arrangement fees.

Even without all that, too many people are on the edge and won't be able to increase spending, wages aren't really going up that much (the public sector are being capped at 2% gross, private sector margins are dropping), and at some time UK-land's magical escape from inflation that the rest of the world has seen over the last 6 months might evaporate.

Bet el BankO d'Excess are wishing they'd kept rates nuetral instead of 'accommodative' since 2003...

Rabiddog_2

My informed? reading on this is that in the USA in 2007 some $50 billion of sub prime mortgages came up for adjustment from their taser rates of 2% 3% onto std rates. (these figures are not gospel). The next year a futher $400-$500 billion of sub prime mortgages will come off their taser rates. Thats why this crisis will rumble on and grow bigger next year, Further tranches of sub prime will also be re-adjusted in 2009 but a lesser amount (only $200-250 Billion). 2008 might see some big names take an enormous hit or be gone from the market. This will affect financial institutes all over the world, of course. (from the economist)

mystic_trev

Taser rates - I assume you meant Teaser rates!

A Taser is an electroshock weapon meant to stun a targeted subject from a distance :eek:

dannyboycey

mystic_trev wrote: »

Taser rates

Sounds like quite an accurate description to me!

nelly_2

tr3mor wrote: »

I don't suppose you saw Piers Morgan on Question Time t'other night. What an absolute tw*t!

Who me or piers morgan?

I missed it I was watching 100 greatest porno bloopers on red hot dutch

tr3mor

nelly wrote: »

Who me or piers morgan?

I missed it I was watching 100 greatest porno bloopers on red hot dutch

Yeah, Piers Morgan. Apparently HPI is brilliant because "We've all made lots of wonga from our rising house prices!".

:money:

dunnomate

I thought HPI was something you did to check a second-hand car's history !!!

cheers

dunnomate

DreamBreaker

carolt wrote: »

Thanks for reposting the articles, Turnbull2000, as they got lost in amongst all the guff on this thread. Very interesting, especially the Telegraph one. As they explain, some people (mentioning no names!) will not get the point no matter what all the financial experts, let alone us ordinary mortals, say.

Dream Breaker's experience seems somewhat irrelevant as s/he apparently bought many moons ago or inherited a property portfolio - either way, it is of little relevance to people thinking about buying NOW.

Once again carol, wrong assumpion, not all my proeprties were bought many moons ago!