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mrpleasant

Rightmove Asking Price Index Out Tomorrow (Mon)

65 posts in this topic

.......there will never be a crash and I've missed the boat. I'll probably never buy a house in England now.....

You will if you want to. The boat is still tied to the jetty and the fare will be substantially less in a few years time.

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In recent years, Rightmove have announced a rise in their asking price index each January. However, last month, they reported a fall in their January 2012 data. So, it's not really a surprise that the February number saw a bounce back from that.

Adding Jan & Febs numbers for the last few years shows that this latest data is more than likely a statistical blip.

Jan 2010: Up 0.4%

Feb 2010: Up 3.2%

Total for first two months of the year: Up 3.6%

Jan 2011: Up 0.3%

Feb 2011: Up 3.1%

Total for first two months of the year: Up 3.4%

Jan 2012: DOWN 0.8%

Feb 2012: Up 4.1%

Total for first two months of the year: Up 3.3%

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In recent years, Rightmove have announced a rise in their asking price index each January. However, last month, they reported a fall in their January 2012 data. So, it's not really a surprise that the February number saw a bounce back from that.

Adding Jan & Febs numbers for the last few years shows that this latest data is more than likely a statistical blip.

Jan 2010: Up 0.4%

Feb 2010: Up 3.2%

Total for first two months of the year: Up 3.6%

Jan 2011: Up 0.3%

Feb 2011: Up 3.1%

Total for first two months of the year: Up 3.4%

Jan 2012: DOWN 0.8%

Feb 2012: Up 4.1%

Total for first two months of the year: Up 3.3%

Good work!

Nevertheless, it is rather depressing.

I don't accept the 'Rightmove data is useless' argument one person put forward in the thread above. It does measure the sentiment of buyers putting their homes on the market and as a measure of that - rather than house prices per se as it is often presented by the media - it's useful.

I rreally don't understand it this latest release - perhaps the best explanation is that I was in Westminster Sainsburys last night which I assume serves many people who have houses there which are apparently booming in price ad infinitum and there was a 'Special Offer!"' on 2X4 yoghurts for £3.50. The price of a single pack of 4 was £1.84.

Edited by Unsafe As Houses

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Good work!

Nevertheless, it is rather depressing.

I don't accept the 'Rightmove data is useless' argument one person put forward in the thread above. It does measure the sentiment of buyers putting their homes on the market and as a measure of that - rather than house prices per se as it is often presented by the media - it's useful.

I rreally don't understand it this latest release - perhaps the best explanation is that I was in Westminster Sainsburys last night which I assume serves many people who have houses there which are apparently booming in price ad infinitum and there was a 'Special Offer!"' on 2X4 yoghurts for £3.50. The price of a single pack of 4 was £1.84.

I agree. Trying to sell my house at the moment and locally there is lots of interest - unusual for Feb. but that tends to mean EAs suggest silly prices. Fact is though there is s dearth of quality stuff out there so the good ones shine out. We are encouraging offers - should be interesting at Easter time, assuming the buyers come out to play.

I am mindful of the fact shown on Rightmove that 50% of houses last year failed to sell due to silly prices, poor presentation etc. It is amazing how many sellers do not realise you have to make an effort - buyers don't like toys all over the place and paint is a wonderful thing...

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I agree. Trying to sell my house at the moment and locally there is lots of interest - unusual for Feb. but that tends to mean EAs suggest silly prices. Fact is though there is s dearth of quality stuff out there so the good ones shine out. We are encouraging offers - should be interesting at Easter time, assuming the buyers come out to play.

I am mindful of the fact shown on Rightmove that 50% of houses last year failed to sell due to silly prices, poor presentation etc. It is amazing how many sellers do not realise you have to make an effort - buyers don't like toys all over the place and paint is a wonderful thing...

Forget all that, just get the price right.

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Good work!

Nevertheless, it is rather depressing.

I don't accept the 'Rightmove data is useless' argument one person put forward in the thread above. It does measure the sentiment of buyers putting their homes on the market and as a measure of that - rather than house prices per se as it is often presented by the media - it's useful.

I rreally don't understand it this latest release - perhaps the best explanation is that I was in Westminster Sainsburys last night which I assume serves many people who have houses there which are apparently booming in price ad infinitum and there was a 'Special Offer!"' on 2X4 yoghurts for £3.50. The price of a single pack of 4 was £1.84.

The increased interest is probably due to the stamp duty holiday ending. Agents see some slight interest so value slightly higher. I don't think many vendors ring up an agent and tell them the price to put it on at. They just go with what the 'property experts' tell them. So I suppose you could use it to gauge agent sentiment but even then it's quite misleading without a seasonal adjustment.

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As someone looking to buy, I'll join the depressed club! We really wanted more negative press to gradually encourage the sellers of the places we're interested in to be appreciative of our rather discounted offers!

I sold a place last year for 18% off 2007 peak and 10% off my initial asking. I put a second place up for sale 4 weeks ago - about a dozen viewings and two offers so far - priced at ~10% below 2007 peak. Both places are in the North West.

In the areas of interest to me I'm seeing real drops in the £1m+ bracket and <£300k. It's the stuff in the middle that seems stuck in 2007 with people happy to sit at asking price X, and when it doesn't sell in 12 months, to then think the solution is a shift to another agent...

As another commented, (at least in my area/price bracket) there is a real lack of decent places available. Given there are always going to be some buyers/mugs whatever the price, the good stuff is moving.

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The increased interest is probably due to the stamp duty holiday ending.

I've become used to them extending and improving the terms of the stamp duty holiday for years now. I'm going to have to look up what they propose changing it back to, if they are really going to. Even if they do they'll probably bring it back in again were prices to slide.

Couldn't see the link in this thread; Rightmove House Price Index, February Edition, PDF.

Big jump in SE asking prices according to RM.

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I have another theory about this ridiculous jump in asking prices.

We're coming up for 5 years since peak prices.

How many people bought at peak using liar loans, self cert and interest only mortgages. Lots will have had 5 year deals so now are facing remortgaging without their previous access to easy money and a nice dose of negative equity to go with it.

For many it will be a last ditch attempt to pass the debt to somebody else before the bank takes their house off them.

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'Joy for Richmond Home Owners as prices soar by 16% in one month.'

So they will be 200% more expensive by the end of the year. Buy now or miss out.

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The increased interest is probably due to the stamp duty holiday ending. Agents see some slight interest so value slightly higher. I don't think many vendors ring up an agent and tell them the price to put it on at. They just go with what the 'property experts' tell them. So I suppose you could use it to gauge agent sentiment but even then it's quite misleading without a seasonal adjustment.

Yes, I agree with all of that - Agent + seller sentiment with no seasonal adjustment of data to take into consideration.

Seller sentiment will have some bearing - everyone's a 'property expert' nowadays :P

Edited by Unsafe As Houses

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Just checked my 'barometer' postcode in the South East on Rightmove and... two decent price drops today and two sold STCs going back to Available. Obviously the 'good news' hasn't reached there just yet.

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I have another theory about this ridiculous jump in asking prices.

We're coming up for 5 years since peak prices.

How many people bought at peak using liar loans, self cert and interest only mortgages. Lots will have had 5 year deals so now are facing remortgaging without their previous access to easy money and a nice dose of negative equity to go with it.

For many it will be a last ditch attempt to pass the debt to somebody else before the bank takes their house off them.

Good insight for a first post!

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