Positivity about the Housing Market at Last!!!

busy_bee_7

Butterflysam,

Oh, that's ok then. :rotfl:
I thought you might be a seller.
I hope you are not too desperate to sell or to move as it doesn't seem to be the right time to do it now.

Anyway, good luck to you.

Busy Bee

poppy10_2

!!!!!!? wrote: »

And just about the only way that the government can do this is to inflate the money supply to the point where an average house really is worth the nominal cash price paid for it.

That's all very well but it's likely that we will be paying 3 quid for a litre of petrol and 4 quid for a loaf of bread as a result of the currency being debased to save the banking system. :mad:

There is a decent chance that this might happen, and it would mean those that are buying houses now end up big winners. The value of their mortgage debt will be eroded through high inflation, house prices will rise in nominal terms and wage rises will allow people to pay off the debt easily, as the currency has been debased.
A hyperinflationary solution to the [STRIKE]credit [/STRIKE]debt crunch would only punish those who have worked hard and saved up cash, and reward those who have splurged out and taken on debt.

mr.broderick

Just to be impartial i've noticed a lot of the houses for sale around here gone under offer and sold recently, don't know what they've sold for but this evidence would corroborate the initial post.

johnycoldears

mr.broderick wrote: »

Just to be impartial i've noticed a lot of the houses for sale around here gone under offer and sold recently, don't know what they've sold for but this evidence would corroborate the initial post.

Might be interesting to see how many SSTC's end up completing.

There seems to be a lot of houses selling around us which end up back on the market when the chain collapses. The chains are collapsing mainly because FTBs are finding their mortgage offers have been cancelled or increased. - Forget the BOE interest rate, all the banks are busy covering their backsides and raising mortgage rates (fixed and tracking rates). If you saw Robert Peston on the BBC news last night you will recall that he said not only are banks increasing charges but they are decreasing the amounts thay will lend and the LTV to more traditional measures (3.5x earnings and max 90% LTV). I'm sure you can work out the implications of those figures on house prices for yourself.

Jorgan_2

johnycoldears wrote: »

Might be interesting to see how many SSTC's end up completing.

johnycoldears wrote: »

Well, since January, our completion figures have been exactly the same as last year. We had one more completion in Jan '08 than Jan '07 & one less in Feb '08 than last year. Achieved prices have also been very similar. Thats the good news.

The bad news is that viewings & sales being agreed are down about 20% for March. Achieved prices haven't fallen yet, but who knows whats around the corner.

mr.broderick

johnycoldears wrote: »

Might be interesting to see how many SSTC's end up completing.

There seems to be a lot of houses selling around us which end up back on the market when the chain collapses. The chains are collapsing mainly because FTBs are finding their mortgage offers have been cancelled or increased. - Forget the BOE interest rate, all the banks are busy covering their backsides and raising mortgage rates (fixed and tracking rates). If you saw Robert Peston on the BBC news last night you will recall that he said not only are banks increasing charges but they are decreasing the amounts thay will lend and the LTV to more traditional measures (3.5x earnings and max 90% LTV). I'm sure you can work out the implications of those figures on house prices for yourself.

I think that's a good post.