Friday, Apr 18, 2008

Iceberg Iceberg!!!!!!!!

This is London: Home sellers slash house prices

House sellers are being forced to offer massive discounts as the credit crunch engulfs the London property market.....................So what will all this look like by the autumn?????

Posted by titaniccaptain @ 12:32 PM (1550 views) Add Comment

16 Comments

1. titaniccaptain said...

And to quote X.T.C "Towers of London when they had built you did you watch over the men who fell"

Friday, April 18, 2008 12:41PM Report Comment
 

2. mark wadsworth said...

Good headline, lousy statistics.

Sale of friend's house agreed last Autumn fell through recently, EA advised put it on for 10% less - it's still not shifting.

Deckchairs! Deckchairs!

Friday, April 18, 2008 12:46PM Report Comment
 

3. techieman said...

a bit about Viccky park - see the picture. I know some people that have developed there and they say that what they could have got last year has come down by about 20% since then, anecdotal i know but.....

Friday, April 18, 2008 12:48PM Report Comment
 

4. General Melchett said...

Sloppy BS in one of the London free rags yesterday saying that FTBs were now spending about 26%, or £1300 of their money on mortgages. This would mean that the average salary of an FTB in London is 60K (unless they were talking take-home pay, in which case it is higher). Also said average FTB property was about 4 x average salary, which is a) patently a BS multiplier (triple that) b) that average FTB porperty is 240K in London..... Obviously BS.

Muppet reporting

Friday, April 18, 2008 01:30PM Report Comment
 

5. layers said...

Wow, even Kensington & Chelsea?! And only a few months ago we were being told that this borough would be totally immune! All bets are off, as we have all been saying here, particularly now with the massive Cty lay-offs.
Ant bets on what the falls will be this time next year? -35% IMO for the Royal Borough

Friday, April 18, 2008 02:09PM Report Comment
 

6. need-a-crash said...

Great news! This change in sentiment combined with the job losses being announced should start to seriously impact the London market. Also a big hello and thanks to all the other hpc bloggers out there for helping me keep my sanity over the last year or so!

Friday, April 18, 2008 02:11PM Report Comment
 

7. uncle tom said...

Melchett,

FTB's in London probably are earning £60k - as everyone else has been priced out by the speculators.

Now that the speculators have fled, everyone else has to be priced back in - and that means big price falls

Friday, April 18, 2008 02:31PM Report Comment
 

8. techieman said...

UT? 1st time buyers earning £60k???? Do you mean as couples?

Im confused!

Friday, April 18, 2008 02:34PM Report Comment
 

9. uncle tom said...

techie,

Singles or couples - whatever - it doesn't really matter. What matters is that all the stats relating to FTB's ignore those who want to be FTB's but can't afford it - so all the affordability stats are pretty meaningless.

BTW - quite a lot of people get counted as FTB's more than once in their lifetime - those who have sold to rent and then re-enter the market after the crash will be recorded as an FTB because they didn't have a mortgage to redeem. Divorcees who have been bought out and those returning to the UK after living abroad for a while also bolster the figures.

Friday, April 18, 2008 02:46PM Report Comment
 

10. techieman said...

Thanks UT - it now makes sense that it doesnt make sense! You mean people that have actually bought for the "first time" and by that it means I would be a first time buyer for example. But does that mean people that (whenever they have bought), havent bought their second place. Sunds like a new meaning to the term meaningless to me.

Friday, April 18, 2008 02:51PM Report Comment
 

11. pelethar said...

What survey is this based on? They keep quoting Rightmove but theirs isn't out until Monday - have they got a sneak preview, or are they a month out of date?

Friday, April 18, 2008 02:52PM Report Comment
 

12. uncle tom said...

pelethar,

Good point - this doesn't look like last month's stats - I'd guess the ES has broken Rightmove's press embargo..

Friday, April 18, 2008 03:41PM Report Comment
 

13. pelethar said...

Sounds like Monday's report might make sexy reading then UT!

Friday, April 18, 2008 04:01PM Report Comment
 

14. Green Clay Duck said...

techieman - I can see that returning ex-pats and divorcees are sort of first time buyers. Only thing is, when they compile the statistics, if they count first time buyers as "anyone who does not have a mortgage to redeem" that would include BTL and cash buyers! Surely that is not the case?

Friday, April 18, 2008 04:43PM Report Comment
 

15. techieman said...

Green Clay Duck - where does that come from?!? I dont understand this myself so im afraid you and i are in the same boat blissful ignorance! Which in this case is exactly what it says on the tin methinks.

Friday, April 18, 2008 06:59PM Report Comment
 

16. Fed Up said...

'Average asking prices in Kensington and Chelsea have fallen £33,000 to £1,458,558 - down more than 2.2 per cent between March and April'.

My heart bleeds for them, it must be really difficult!

Friday, April 18, 2008 08:06PM Report Comment
 

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