Tuesday, Aug 19, 2008

Flashback - November 2007

Daily Mirror: Are house prices set to crash?

Makes hilarious reading - honestly, you've got to read this assortment of property pundits stating that there is no way prices will crash. Only Sarah Beeney is even remotely bearish, forecasting upto 6% falls for 2008.
Melissa Porter, (Britain's Dream Homes): "I don’t believe there will be a crash because interest rates are still low, the economy is strong and employment is high. And the market will remain robust in areas where people are moving for work, such as London"
Kristian Digby (To Buy or Not To Buy): "We will see rises of 1-2% next year. Manchester and Birmingham will do well."
Louisa Fletcher (London Tonight): "I will stake my property on the fact that there will not be a crash like the 1990s."
Rosie Millard: "The market will continue to rise in London."

Posted by little professor @ 08:17 PM (1979 views) Add Comment

18 Comments

1. montesquieu said...

Some wonderful lines:

'ROSIE [Millard], 39, is a canny buy-to-let investor '

ha ha ha ha ha

Tuesday, August 19, 2008 08:30PM Report Comment
 

2. it_is_going_with_a_bang said...

At the end of the day ALL of them only have a living because of rampant property prices.
You can see why the thought of a crash is inconceivable for them.

An inconvenient truth.

Tuesday, August 19, 2008 08:33PM Report Comment
 

3. Yellerkat said...

Rosie Millard - THIRTY-NINE??? - Ahahahahaha!

Tuesday, August 19, 2008 08:53PM Report Comment
 

4. alan said...

"LOUISA, 33, has made millions knowing when to buy and sell property. With Kirstie Allsopp she presents Inside Property on London Tonight on Mondays at 6pm. She says: I WILL stake my house on the fact there will not be a property crash like the one in the late 1990s. The economic situation is completely different. When I bought my first property then, interest rates were 11 per cent as opposed to 5.75 per cent today.There was high unemployment and we didn’t have the Financial Services Authority – a buffer between lenders and the Bank of England. They are acting as underwriters in the Northern Rock fiasco, making money there safer than ever. We didn’t have that sort of security in the 1990s".

This is pure VI spin. I'm sure that they are trying to talk UP property. The EAs in my High St. are doing nothing. my neighbour has taken his "for sale" board down in disgust that nobody has looked at his (overpriced) £400k semi. Quite simply, the banks don't want to lend money they haven't got!

Prices must drop and the people being interviewed have a lot to lose. Sorry Guys...!

Tuesday, August 19, 2008 08:55PM Report Comment
 

5. Russell said...

Why not post the quotes on their wikipedia pages?

Tuesday, August 19, 2008 09:08PM Report Comment
 

6. Lukeskywalker said...

"House prices fell by almost 11% in the 12 months to July, Halifax said today - thought to be the first double-digit drop since the lender began publishing a monthly survey in the mid-1980s."

The 90's bust was minus 15-20pc. So saying that there won't be a crash is rather like announcing that everything's going to be okay, don't bother calling home, while hurtling upside-down backwards with your passengers staring agast at the flaming stubs where the wings used to be.

Tuesday, August 19, 2008 09:20PM Report Comment
 

7. Ianbe said...

That Louisa Fletcher girl is bright isn't she? I never realised that the FSA were underwriters in the Northern Rot fiasco.

You learn something every day in the Mirror.

ROFL.

Tuesday, August 19, 2008 09:20PM Report Comment
 

8. nooneo said...

Excellent - Amazing how 9 months has passsed and we barely hear from these property "experts" anymore (Oh how I wish!)

Sarah Beeny:
"I think prices will level off or fall slightly. No-one knows by how much. It could be 2.5 per cent, it could be 6 per cent." - Wow. I reckon they fell that much between giving the interview and it being published!

Melissa Porter:
"But I don’t believe there will be a crash because interest rates are still low, the economy is strong and employment is high." - It's amazing how these "experts" can only churn out the "sound fundementals" they heard someone else say earlier in the week!

Kristian Digby:
"The repossessions we are seeing now are down to people over-stretching themselves. It’s lunacy to borrow six times your salary and put your home and family at risk. If you have to borrow that much then you can’t really afford it." - How on earth does this pornstar think people have managed to move up from the 250k homes (bought for 80k a few year ago) to 450k homes. Yes Kristian "my dad's a property devloper and I'm still going bancrupt because I know nothing about property" Digby, they lied and borrowed six, seven, eight times their income and more to fund their property dreams.

Louisa Fletcher:
"we didn’t have the Financial Services Authority – a buffer between lenders and the Bank of England. They are acting as underwriters in the Northern Rock fiasco, making money there safer than ever. We didn’t have that sort of security in the 1990s." - Wow. Is that the same FSA that didn't see any of this coming - I'll feel safe sleeping in my bed tonight knowing that the guv'mint have an open chequebook ready to ease the banks outta trouble, should only take a generation or two to put right!

Rosie Millard:
"ROSIE, 39, is a canny buy-to-let investor with three properties in London and a Paris apartment, who writes on money and property matters." I guess all them articles she's written about nearly going bust and how they are so up to their necks in debt that they just keep borrowing more money to dig themselves out of it make Rosie my candidate for going bust 1st?

Andrew Winter:
"If a crash is defined as a dramatic nationwide price drop of that size then the answer is NO, I don’t think there will be one." - Another shrewd piece of market analysis from another TELEVISION PRESENTER masquerading as an "expert". Oh how I hope they have all bought into this pyramid scheme, ho ho!

Brilliant synopsis of where you'd think we'd be now. Let's all wait for the "we just didn't know how big this credit crunch thingy was going to get!" lines from this sorry ensemble of over-baked, half-witted VESTED INTERESTS

Who's for a www.housepricecrash.co.uk sweepstake on which one of the UKs property pornstars ends up in bankruptcy court first (probably won't be Krustie as daddykins will no doubt bale her out).

Tuesday, August 19, 2008 09:25PM Report Comment
 

9. montesquieu said...

@nooneo 'Who's for a www.housepricecrash.co.uk sweepstake on which one of the UKs property pornstars ends up in bankruptcy court first '

brilliant idea - is there any poll software smart enough to calculate odds (up to odds on) based on votes cast?

Tuesday, August 19, 2008 09:51PM Report Comment
 

10. mark wadsworth said...

Honestly, what a bunch of T1T5.

My personal highlight (and Nooneo may have beaten me to it) is:

"It’s lunacy to borrow six times your salary and put your home and family at risk. If you have to borrow that much then you can’t really afford it."

Er ... Kristian, with an average house price of £200,000 at the peak and average earnings of £25,000, are you saying that an average price of £150,000 is lunacy? If that's lunacy, then what's £200,000 (eight times salary)? What d'you think is reasonable? Four times salary £100,000, perhaps? Price drops of 50%, let's say?

TW4T

Tuesday, August 19, 2008 10:33PM Report Comment
 

11. titaniccaptain said...

@ nooneo
"Who's for a www.housepricecrash.co.uk sweepstake on which one of the UKs property pornstars ends up in bankruptcy court first ".....................Thats sick Nooneo taking advantage of these people who have fallen on hard times......and..............I LOVE IT......great idea......web master get the chart rolling.....ive had enough of these so called experts myself with their infant knowledge

Tuesday, August 19, 2008 10:37PM Report Comment
 

12. nooneo said...

I know extremely little about particle physics .....

I know what a particle is....
And I know what physics is.....

Therefore I must be an expert in particle physics after all ....

Heck that was easy, can I have my PHD now ....

Tuesday, August 19, 2008 10:40PM Report Comment
 

13. Confused76 said...

To buy or not to buy... hahhah hahahahh

Tuesday, August 19, 2008 11:32PM Report Comment
 

14. unplugged said...

LOl... How wrong can they be? Sarah Beeny did always seem to be the most down to earth of them all. Its good to hold them to account on their previous statements. Something that get overlooked more and more in the mainstream news. But dont be too harsh on them. They are human after all.... they all have a VI of some sort and/or maybe they are 'blocking' reality to some degree. To an extent we all believe what we want the truth to be, rather than see the facts and the wider scene and implications.

I just watched the BBC programme on the pedegree dogs industry and witnessed the same kind of denial from dog breeders... They literally cant see the truth because they have built their entire lives on a set of beliefs that relies on the same ideas as eugenics for its aims and justification.... but much worse. Plus their livelyhoods are at stake.

Tuesday, August 19, 2008 11:54PM Report Comment
 

15. Scunnered said...

Louisa Fletcher: "I WILL stake my house on the fact there will not be a property crash like the one in the late 1990s."

OK, I've got a tenner that I'll bet against her house.

Wednesday, August 20, 2008 07:59AM Report Comment
 

16. Johnnyp said...

Spoke to a lady who got into my taxi yesterday who's next door neighbours were trying to sell their 4bed detached house in a very nice area of town (not chav country) ,it had been on the market for nearly 8 weeks with not one person viewed !!!! How times have changed...

Wednesday, August 20, 2008 08:19AM Report Comment
 

17. a saver said...

TC @ 11 ive had enough of these so called experts myself with their infant knowledge
Too right! What really p*sses me off is that the Beeb, ITV etc continue to present a whole bunch of VI w*nkers as actual experts on the property market and people take them seriously. Kind of like getting a few turkeys to vote on whether we go ahead with Xmas.
Is there really such a thing as the broadcasting standards authority? (Or the FSA?)

Wednesday, August 20, 2008 09:29AM Report Comment
 

18. Friend_of_the _stars said...

I just posted this on Louisa Fletcher's site:

"Can I have your house, please? To quote you from the Daily Mirror 18/11/2007: "I WILL stake my house on the fact there will not be a property crash like the one in the late 1990s"

As someone on a modest income, my family have been forced, and I mean FORCED, to live in rented accomodation, with all the insecurity that brings. I would dearly love to be able to afford a home for my family (NB - not an, ahem, 'investment').

As you've been so kind as to offer yours in the event of a property crash, I was wondering if you could tell me when my family and I can move in.

Thanks in advance, "

Wednesday, August 20, 2008 09:35AM Report Comment
 

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