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This shouldn't be allowed. As more and more data points serious problems in the housing market, and wider economy, how can this be justified? Indeed, what 'new value' is there.

Why should Beeb journos become self-appointed - or VI appolinted ) spin-merchants using a publically-funded media as their platform?

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There is still a perception with the wider public that a housing crash will happen overnight, suddenly there will be huge newspaper headlines, and people will get evicted from their houses.

The last crash was relaitvely, quick, with prices falling hard in 89,90,91 and 92. Yet it still took 4 years to reach bottom, then another 4 years of bumping along the bottom.

What they need to understand (but why bother when Trisha is on) is that a housing crash is like slow Chinese water torture, very slow, and more and more painful, over long periods of time.

Where we are now is similar to 89, where people just had a sense that something ws wrong. I find it amusing that the Beeb are saying prices are flat, most on this forum know they have been falling (in some places very hard) over the last 6 months, we just have rolling averages to smooth things out.

They also seem quite content to take a small snapshot of the housing market, completely ignoring it's turbulent history.

Having housing so massively overvalued it is delicate to any small economic shock that in previous years would have been a non-event.

In hindsight people will blame the housing collapse on the euro /rising unemployment/the dollar slide/high oil price/the yuan/ terrorists, but not on the speculative bubble that was the root of the problem.

Edited by BandWagon
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whats this then :blink::blink::blink:

_40606826_house_price_070605_gra203.gif

Looking back at Halifaxs previous house price inflation figures, i come to conclude that house prices since 1970 have average about 8% a year and everytime annual inflation falls below this figure by more than 3% a correct occures, this month we are, yep 8 -5% = 3%. Hold thight, the Beeb should know better.

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Guest Riser

What a load of completely un-substantiated B****ks. This article should shatter the illusions of anyone who still clung on to the hope that the BBC was not just a spin machine for this government.

Economists point out that current conditions have little in common with those of the early 1990s, the time of the last housing crash.

Looks just like the 90's crash,and the 70'crash to me :D

National House Price Inflation

This article is actually quite bearish towards the end, trying to adjust the publics expectation to the possibility of falling prices to dampen down the market reaction when HPI goes negative in August.

Edited by Riser
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Reading it through, it is the most bearish article they have published (not saying much I know). I don't think it will make an ftb jump up and buy a house.

They should have said there is a real risk that house prices will fall again next year. Even if only by a few percent, it would have a deep effect on the publics mindset.

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Indeed. Look to the selective use of statistics. Halifax have just reported a 0.6% fall in house prices and yet the BBC reports that prices had fallen "just 0.1% over the past five months."

They should more accurately be reporting that the falls are accelerating. There is also no made that volumes are now at lows only seen during previous booms/crashes or the BTL phenomenon.

Nor is there any attempt to analyse how the market can stay at these levels if FTBs are all but priced out of the market, other than a glib comment from FirstRungNow (which I imagine is just a front for mortgage lenders).

This story is not related to any release of figures or any evidence and the "experts" referred to at the beginning all have an interest in the market staying afloat.

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Hahahaha!

"There is evidence that prices are falling, but it is happening much more slowly than we were expecting"

Obviously there's no possibility of any kind that it might speed up or anything...

"Because we are driving over the cliff much more slowly than we thought, we won't ever hit the ground"

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This report ios scandalous. This is unbalanced reporting at it's very best. A strong complaint should be made, asking the BBC to investigate this reporter's investments activities and is suitablility to produce such a report.

It's this bit that really annoys me: "People are going to have to look at more innovative ownership schemes and financing options to buy their first home." Why do people only say this about the housing market? If car prices rose too high, would they suggest that people buy one between them, or borrow money in innovative ways? No, they would suggest they were overpriced and that a correction was due.

I sometimes think we're living in a parallel universe whenever so-called financial experts commentate on the housing market. And no-one ever challenges them on this, in the media. WHY???????????????????

Edited by Casual Observer
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It's this bit that really annoys me: "People are going to have to look at more innovative ownership schemes and financing options to buy their first home." Why do people only say this about the housing market? If car prices rose too high, would they suggest that people buy one between them, or borrow money in innovative ways? No, they would suggest they were overpriced and that a correction was due.

I sometimes think we're living in a parallel universe whenever so-called financial experts commentate on the housing market. And no-one ever challenges them on this, in the media. WHY???????????????????

At the rate we are going with falling real incomes and your average household spending more than they earn people are going to have to find innotive financial schemes for buy food and filling the car with juice.

It is innovative financing in housing that has got us to this situation.

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As usual they don't properly mention the horrific 1.1 trillion plus debt, that becomes even more frightening when folks start losing their jobs in slowdown. This makes it very different to the last crash, much worse in fact, we're in unknown territory.

Look at the story in the HPC news blog with the CBI guy appealing for 'not talking ourselves into recession' they are frightened. Should read 'please don't take the blindfold off, while we build an extension to that cliff edge'

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One point worth noting, they are quoting a 2-3% fall in actual prices. If you take into account inflation at 3-3.5%, they are getting close to quoted figure of a 7% fall in inflation adjusted prices.

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Guest The dude
It's this bit that really annoys me: "People are going to have to look at more innovative ownership schemes and financing options to buy their first home." Why do people only say this about the housing market? If car prices rose too high, would they suggest that people buy one between them, or borrow money in innovative ways? No, they would suggest they were overpriced and that a correction was due.

I sometimes think we're living in a parallel universe whenever so-called financial experts commentate on the housing market. And no-one ever challenges them on this, in the media. WHY???????????????????

Because the media is so shite. I saw the bbc headline and that really was enough - I couldn't be bothered to read the rest. I know what it was going to say. As somebody has already posted, this article really does confirm what we already knew: WE CAN'T TRUST THE BBC. It's disgraceful that we are actually paying for this garbage. Still, no matter what the Media tell us, bull or bearish, I just can't afford to buy a house at these ridiculous prices. Period.

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I'd like to see Ed Stansfield's quotes in their full context, since this is pretty much the main evidence the article relies on i.e.

"There is evidence that prices are falling, but it is happening much more slowly than we were expecting," says Ed Stansfield, property economist at Capital Economics.

Last year, Capital Economics put its neck on the block, claiming that house prices were overvalued by about 20% and could fall by as much as 7% in 2005.

"That 7% figure is beginning to look far too gloomy, with a 2-3% fall more likely."

Anyone know where to find his full article?

It would be particularly interesting to know whether his original 7% prediction was locally in a particular area (as I seem to recall) or nationally.

Also interesting is the BBC's mention of "underlying confidence in future prospects"

- future prospects of what exactly? :D a recession / surge in bankruptcies / spiralling unemployment / rising taxes / retail slowdown ....

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Any intelligent person reading the article will see the warning signs.

I actually don't think this article is that biased. It frequently makes note of the posisbility of falling prices and talks about how demand has dipped. The BBC cannot be expected to take a purposefully bearish stance - that would be as outrageous as being unremittingly bullish. This is a fairly neutral article that collects a lot of quotes from "experts". It is up to the reader to analyze those opinions.

The one that makes me laugh is this:

"Without demand waning I cannot see property prices going to crash and it doesn't seem that demand is waning," says Helen Adams, of FirstRungNow, a property website aimed at first-time buyers."

BUT DEMAND HAS WANED. Down 30-45% from a year ago!

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In the interests of balance, one of the bearish commentators quoted on the homepage of HPC, Ed Stansfield, is quoted in the article saying he had overestimated the extent of falls.

His prediction is 20% falls in next few. But he admits his 7% fall forcast for this year looks wrong, and he has now adjusted his prediction to 2-3%.

Has he been "gotten at" too?

So there is some food for thought I'd have thought.

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Pretty certain that in the same way choice statistics have been used, choice quotes from Ed have been used.

Even if the article is bearish, the headline is not, and that is all the muppets will see. How many of the general public actually look at the BBC business section anyway?

Edited by jaffa
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Pretty certain that in the same way choice statistics have been used, choice quotes from Ed have been used. 

Exactly, as mentioned earlier, it isn't at all clear where these quotes came from and what else he said to put it in context.

Still, did we really expect a headline saying "House prices set to plummet by 2-3% by year end, says leading economist" ?

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Funny??!! I have driven past a whole pile of new "houses" in Gillingham, Dorset at least twice a week for TWO YEARS........... and they have been "For Sale" for TWO LONG YEARS!!!!! STILL they haven't sold!!!! The flags flutter, they're lit up in the night like a fairytale land, ....the stupid boards scream out "Luxury....... Well Appointed...."[The usual Guff...]: No one has bought them!!! FOR 2 YEARS!!! Even though that part of the world is prime house-buying country -- all those millions who have fled London and the SE -- they're all pouring down there in search of a "better" [actually bearable] life.......... but even they see a rip-off when they see it......... Thus - in Bournemouth, Wareham, etc. ...& in many parts in and around Shaftesbury, Dorset, Salisbury, Wilts ........houses just SIT on the market month after month after month, unsold......... WHY? Very simple!! Becasue the new FTB's aren't even moving - they're not alive anymore - they've died of boredom!!! Either that or they've laughed themselves stupid/dead at the absurd, the ridiculous prices -- and the utter CR*P called "luxury houses" that've been built all around the place - like a spreading fungus or piles of sh@t == matchbox huts not even fot for stray dogs let alone normal human beings.......... And so the chains are dead -- no one can sell, no wants to buy [sxcept the odd MORON who clearly just doesn't get it!!] - THOUSANDS of houses for sale -- just month after month -- the local rags are thick as Bibles with unwanted houses for sale........ Chr*st!!! This country is really such a sh!thole!

......and the BBC!!!!!! The BBC!!!!! The Biased ******** C***s -- Was the Hutton Report so wrong?!?! Is it not GLARINGLY obvious that the "BBC" is just a PR Agency for a bunch of Meedja Smug G*ts!!! All lolling around on soft chairs, making purile, stupid, pukey programmes which they feed out to the "public"....... all just a big marketing fiasco making the Meedja Folk's 2nd and 3rd & BTL properties look so good and so clever........... YUK!!! How many people LOATHE the BBC??? They are so totally biased - is it not so OBVIOUS!?? Vested Interests Reign Supreme!! :unsure: :angry: Vote here......

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  • 442 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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