Housing Market

DairyFarmer

Hi everyone,

Persimmon stock (LON: PSN), the British housebuilding company, with the current market focus being in the UK on cutting interest rates. This should hopefully bring the cost of mortgages down and hopefully house sales will increase. After doing alot of research on the company’s growth plans, is it likely this stock will rebound when the interest rates comes down, would it be likely housebuilders will start doing well again please? 

I am looking at this as a 1-2 year investment and a bet that the housing market will be stronger as the interest rates come down. Meaning mortgages will be more affordable. 

Best wishes.

masonic

This is the savings & investments forum, not the gambling forum. Investing in a single share with a 1-2 year horizon will be nothing more than a bet. I have no idea whether or not interest rates will continue falling, or if they do whether that will have a positive impact on the share price of this company, but if there was such a link, wouldn't investors already have bought into the share and driven up its price to the extent that there is little more upside to be had if any?

Albermarle

This is the third thread started by the OP today.

OP - This is not a tipsters forum. There are plenty of those around.

Eyeful

1. Putting money into single shares is at the high risk end of investing.
2. You are not investing but speculating where the odds of you winning the game are.
3. No one can foretell the future, active managers & talking heads in interviews like to make you think they can. 

aroominyork

Albermarle said:

This is the third thread started by the OP today.

Indeed it is. And my hunch is we know who is posting them, you wonderful and intelligent people on this forum. He truly hopes we all have a wonderful day and he appreciates our kind answers which would be incredibly helpful to him etc. etc.

wmb194

DairyFarmer said:

Hi everyone,

Persimmon stock (LON: PSN), the British housebuilding company, with the current market focus being in the UK on cutting interest rates. This should hopefully bring the cost of mortgages down and hopefully house sales will increase. After doing alot of research on the company’s growth plans, is it likely this stock will rebound when the interest rates comes down, would it be likely housebuilders will start doing well again please? 

I am looking at this as a 1-2 year investment and a bet that the housing market will be stronger as the interest rates come down. Meaning mortgages will be more affordable. 

Best wishes.

You could have a look at Investors' Chronicle, a weekly FT publication, online or paper at the newsagent. It has mostly UK share tips and more general advice for less risky investing via funds and Investment Trusts. If you search for, "PSN" on its website you'll find some articles (doesn't appear to like it very much, says hold, though this was in 08/24). Barron's, WSJ, is the US' equivalent.

https://www.investorschronicle.co.uk/

Whatever you do don't follow the suggestions slavishly, you need to think about position sizing and particularly the risks you're willing to take.