Panorama tonight - Bursting the house price bubble.(merged)

hgllgh

The most interesting part of the program for me (apart from the general malpractice of developers and solicitors keeping prices artificially high) was the BBC presenter who bought the new build in east london and is now over 100K in neg eq.

So London is now affected unlike the headline figures which show London still going up. The headline figures (including the land reg) must be skewed and can't really be trusted judging from the program anyway.

What was the other flat reduction on the program 300K down to about 100K?

We seem to have exactly the same situation as there is in the US (Florida) where prices have gone down pretty quick i.e. 50% reduction. Maybe this crash will be a sharper downturn compared to the previous?

Doozergirl

hgllgh wrote: »

The most interesting part of the program for me (apart from the general malpractice of developers and solicitors keeping prices artificially high) was the BBC presenter who bought the new build in east london and is now over 100K in neg eq.

So London is now affected unlike the headline figures which show London still going up. The headline figures (including the land reg) must be skewed and can't really be trusted judging from the program anyway.

What was the other flat reduction on the program 300K down to about 100K?

We seem to have exactly the same situation as there is in the US (Florida) where prices have gone down pretty quick i.e. 50% reduction. Maybe this crash will be a sharper downturn compared to the previous?

I don't think those examples related at all to house prices in general. They were never ever worth what was being asked, not even in an overinflated market. £300,000 for a flat in Thamesmead is a genuine joke. There was nothing exclusive looking about the development and it's in the cheapest postcode in the whole of London! £200,000 would be more in line with a 2 bed in an average area. I guess the river view might add a little value

As for the flat in Nottingham worth £200,000 - well - who would? It was dingy. Just dingy.

We've known for ages that many flats were vastly overvalued, the non-existant deposits explain some things as some LR figures for new build flats are just out and out ridiculous. It has always been my opinion that the value of many, many new build flats were always deemed to fall until they finally fell in line with the rest of the housing stock.

Phirefly

Doozergirl wrote: »

I don't think those examples related at all to house prices in general.

Thats why I can't be bothered to watch any of these programmes. They ramp up all this hoo har and then the cases they present are always so extreme they have no bearing on reality.

Doozergirl

Phirefly wrote: »

Thats why I can't be bothered to watch any of these programmes. They ramp up all this hoo har and then the cases they present are always so extreme they have no bearing on reality.

I'll put my money on the repossession program being about people on benefits with self-cert mortgages who were never going to be able to meet repayments. And there'll be a good old bit about pushy and fraudulent salesmen.

Phirefly

Course they will. That nasty Northern Rock MADE Poor Mr and Mrs Bloggs falsify their proof of income because it was the only way they'd get a foot on the property ladder. Tedious.

hgllgh

Doozergirl wrote: »

I don't think those examples related at all to house prices in general. They were never ever worth what was being asked, not even in an overinflated market. £300,000 for a flat in Thamesmead is a genuine joke. There was nothing exclusive looking about the development and it's in the cheapest postcode in the whole of London! £200,000 would be more in line with a 2 bed in an average area. I guess the river view might add a little value

As for the flat in Nottingham worth £200,000 - well - who would? It was dingy. Just dingy.

We've known for ages that many flats were vastly overvalued, the non-existant deposits explain some things as some LR figures for new build flats are just out and out ridiculous. It has always been my opinion that the value of many, many new build flats were always deemed to fall until they finally fell in line with the rest of the housing stock.

But it's not just new builds as far as I can see. For example, the couple living above me paid 330K for a 1 bed conversion (exterior and outside area in average to poor condition). It's in shepherds bush on a road that is not great and has absolute pig stys for high streets either end of it. Seems to me that there are plenty of converted flats that have also been artificially inflated and will fall.

PasturesNew

Does anybody know the name of the development the TV presenter bought?
I'd like to track down a link/see if any are for sale, look at the registered sales prices. Just out of nosiness

Gingernutmeg

PasturesNew wrote: »

Does anybody know the name of the development the TV presenter bought?
I'd like to track down a link/see if any are for sale, look at the registered sales prices. Just out of nosiness

Tamesis point maybe? Or (more likely this one) Gallions Reach?

Paul_N_4

Phirefly wrote:

Thats why I can't be bothered to watch any of these programmes. They ramp up all this hoo har and then the cases they present are always so extreme they have no bearing on reality.

Doozergirl wrote:

I'll put my money on the repossession program being about people on benefits with self-cert mortgages who were never going to be able to meet repayments. And there'll be a good old bit about pushy and fraudulent salesmen.

Phirefly wrote:

Course they will. That nasty Northern Rock MADE Poor Mr and Mrs Bloggs falsify their proof of income because it was the only way they'd get a foot on the property ladder. Tedious.

And you think these occurances are so rare they have "no bearing on reality"?

Phirefly

I think that programmes on this subject would be more informative and credible if they featured less extreme cases that more people could relate to.