narco

This is my thinking on this, especially with the money supply increasing year on year at around 13%. It does seem money is being produced from thin air. Maybe they've already started printing their way out of trouble?

Who are the creditors?

cgnao, What recommendations do you have for people with no savings, assets or investments but actually have debts to service? Is it too late to purchase gold if you can only spare a few hundred pounds per month? Thanks

Anyone fancy laying down a prediction for the next correction?

Nice Joke this, isn't it.

Gordon Brown is barely even a tiny cog in a giant wheel imo.. This economic farce goes well beyond anything this government could have dreamt up. Just take a look at America right now to see where where we have been and we're we are heading.

Alliance and Leicester is absolutely toxic. Has anyone noticed their crude advertising which has completey flipped from 'low rate loans' to 'high interest' bank accounts since the credit crunch? Take a look at their home page. http://www.alliance-leicester.co.uk/ I also see their personal loan typical headline rate is now up to 7.4% from 6.3% only last month.

Yes, just like last months .5% cut helped the US market

What a mess lol Oh and yesterday's CBS news

To be fair, they are hardly luxury apartments to start with (more like standard 2 bed fodder). Also .. umm its HALIFAX ffs .. ROFL Keep your eyes on the Aspect 14 development in Leeds which will be the next high rise council block within 5 years. 100 correct, guaranteed.

Don't forget though.. Bakersfield is not exactly LA, San Diego or San Francisco. Although If only we had their building volumes over here!! 1 million houses completed in the last year alone in California with a population of less than half the UK's

All the main letting agents have an absolute shed load of City Island apartments that look like they've been on the rental market for months. The flats themselves are starting to look shabby in areas, much like the Velocity development at City Walk. One of the agents from Morgans advised us to make 600 pcm offer on a 2 bedroom flat priced up at 750 pcm. They cant even give them away!

Sure renting offers little future security. However, many landlords will not always raise rents on reliable tenants.

lol I'm watching this one closely to see if theres anyone stupid enough to buy, just check out the 2 months worth of rent payable in yearly service fees Also.. 425 rent is ambitous imo. This will be lucky to let at 375 in today's saturated market. http://www.rightmove.co.uk/viewdetails-150...1&tr_t=rent

So here we have it A Bull in Bear's clothing.. If i'd bought a house in 2003 and only seen a 9% capital gain during the biggest HPI period ever witnessed, i'd be pretty cheesed off. But for sure, the London market completely screws the figures. There is certainly no housing shortage further north. Heck theres barely even demand for housing right now if you take out the BTL speculators! Inner cities are swamped with empty 2 bed apartments that will essentially be council tenant fodder. BTL is dying, yields dont stack up, prices are falling, mortgage rates are rising and credit conditions are tightening. Inflation is on the rise and wages are not keeping up. The rug has been pulled, the crash is now inevitable.

Of course, i deal with this daily. I have a reputation in the office as mr 'doom and gloom'.. However, slowly but surely people's attitudes are changing. 1st we had interest rates increasing, then the credit crunch, the NR debarcle, and now more importantly, people are now seeing prices 'sticking' and being 'reduced' with their own eyes. Once this attitude spreads right throughout the country, price cuts will become standard practice.

lol i had to drive through there every day to get to work and the bottom of that road constantly flooded making the road to the motorway impassable. The houses themselves are unaffected by the floods but there are 3 houses on that road that have been on the market for months.

Prices increasing by 12% You should ring this guy up and tell him he was wrong to *drastically reduce* his price from 139k to 125k. Even though its been on the market for 6 months. http://www.rightmove.co.uk/viewdetails-147...=1&tr_t=buy

No way the market is going to crash... Actually im buying to let! self cert 100% ltv and all that. Check this beauty!! http://www.rightmove.co.uk/viewdetails-141...=1&tr_t=buy The 425 rent covers the mortage and service charges. With 6 months free fees and good opportunities for capital gains, i'll be a BTL millionaire in no time

Possibly true, as without the high prices then wages would be probably lower. It's not really worth discussing too much because its all ifs and buts. As far as house prices are concerned then i'd say it is detrimental to the economy as house builders target a specific pricing segment. As such, the quality of housing is of a poorer standard. A housing development being aimed at the 'high end' of thie market would have been previously considered 'mid end'. People who are earning good salaries are being forced to buy in ex-council estates ect.. so the standard of life is poorer for buyers in an inflated market.

If rightmove does indeed show a 2.7% increase, it would indeed be a set back for all bears. Whether the stats reflect the facts means nothing in the eyes of the media. We all know what headlines we'll see on the BBC / The Sun, Mirror etc... and this all effects market sentiment.

If house prices were lower then people would surely spend their money elsewhere? (holidays, more expensive cars and more chinese products etc) all of which would be more damaging to the environment. But i agree in principle that high house prices are causing a massive division in society. Things will come full circle however, as they always do....

Nothing on the rightmove site. I've tried the obvious but the pdf's havent been uploaded yet.... http://www.rightmove.co.uk/pdf/p/hpi/House...October2007.pdf or http://www.rightmove.co.uk/pdf/p/hpi/House...15thOct2007.pdf

There are so many people out there who seem to have no understanding of economic cycles. Nor do they display any understanding of a recession or a house price crash. Many of these people however, were alive during the late 70's and early 90's. 10 years of astronomical house price growth has completely brainwashed people that should really know better. This country is in for one hell of a serious wake up call over the next few years.

Its quite strange how almost everyone I know is expecting a house price correction but all are forecasting around 1 or 2 years of minimal growth. Nobody seems to accept the possiblity of a crash followed by a long term period without any HPI at all. It seems as if nobody actually remembers what happened in the 90's, even the people who bought and sold houses during that period. My dad bought a house for 135k in 1989 and sold it for 142k in 1998 and still to this day believes he made a profit.... It's this mentality that it seems we are up against. People who do not believe house prices can actually fall.