Halifax Frices Up 1% Mom

[MississippiJohnHurt]

We're heading for Q2 2009 to Q2 2010 double digit HPI quite easily. I thought there'd be a lull in price inflation during the winter, but we're seeing nothing of the sort. It's looking like we've entered another upward swing, and this is bound to panic the property obsessed UK public into another speculative frenzy this year or next. There'll be another crash in future no doubt, but how many years are you willing to wait? 5 years have already passed since the false dawn of 2005, and it could be another 7-10 years until the next downturn in prices.

That was a good one. I'm sure your motivation for posts like that are entirely altruistic - trying to save people money and rehabilitate them back into normal society by taking out a massive loan owning a property.

But if I were armed with your knowledge, I'd be tempted to keep quiet whilst hoovering up as much property as I could get leverage for....

[Timm]

We're heading for Q2 2009 to Q2 2010 double digit HPI quite easily. I thought there'd be a lull in price inflation during the winter, but we're seeing nothing of the sort. It's looking like we've entered another upward swing, and this is bound to panic the property obsessed UK public into another speculative frenzy this year or next. There'll be another crash in future no doubt, but how many years are you willing to wait? 5 years have already passed since the false dawn of 2005, and it could be another 7-10 years until the next downturn in prices.

I agree with your first sentence, but I think we need a repeat of the fiscal and monetary policy of 2009 to get ongoing HPI.

Personally I think continuation of such policy is not only imprudent, but approaching impossible.

edit: To reduce incomprehensibility.

Edited January 7, 2010 by Timm

[twatmangle]

Who in their right mind are buying houses right now.

WHomever it is, they are going to loose a lot og money.

I bought my place (Sold STC spring 2009, exchanged Oct 2009) at about 25% off 2007 peak. Checking on LR data, the selling price was about the same as similar ones were being bought in 2002. As my six-figure deposit was mostly in Euros and gold, the house was effectively half [peak] price for me.

Still have enough money (not in Sterling) left over to pay mortgage for >5 years if required, or can pay off 30% in one go, but as mortgage is fixed at 4.5% for 5 years and I have mortgage insurance, I am happy to keep the status quo .

Since purchase the house has 'gone up' by 10% but who cares? I don't plan on selling or mewing it. My decision to buy now was based on my particular circumstances and would not be applicable to all. There are plenty of people who are buying right now, all for different reasons.

[spivT]

We're heading for Q2 2009 to Q2 2010 double digit HPI quite easily. I thought there'd be a lull in price inflation during the winter, but we're seeing nothing of the sort. It's looking like we've entered another upward swing, and this is bound to panic the property obsessed UK public into another speculative frenzy this year or next. There'll be another crash in future no doubt, but how many years are you willing to wait? 5 years have already passed since the false dawn of 2005, and it could be another 7-10 years until the next downturn in prices.

this is what the thoery boys on here don't understand. While they congratulate themselves on policies to slash interest rates and to boost the economy, they haven't figured

on what's happening on the ground, and how unaffected and unabashed people this country are about scare stories re deflation and recession.

If they get even half a whiff that actions are being used to support house buying activity they'll snatch at it.

[OzzMosiz]

Well done. Has it gone through ok?

Yep all gone through, solicitor did it in less than 4 weeks.

Place was disgusting inside (food on floor and blocking sink, shit stains in toilets, grubby walls) .

Still not moved in yet, just started redecorating and carpets arriving soon.

It really is amazing what a bit of cleaning up can do to the presentation of a house. The previous owner (who had rented it to Indians who had to be evicted for not paying rent) should have took a week off and freshened the place up, he'd have possibly got 5-10K more.

[Fool's Gold]

You'll never guess how the beeb are describing it...

[Ash4781]

The problem is they can't expand their volumes to boom levels because the funding base is fairly limited. The release mentions that many are not willing to sell at current prices. Whether rates go up and this forces people to sell clouds the forecast. The spreads on recent variable mortgages sold will make many of these products unaffordable if rates rise to 4-5%.

[bear_or_bull]

That was a good one. I'm sure your motivation for posts like that are entirely altruistic - trying to save people money and rehabilitate them back into normal society by taking out a massive loan owning a property.

But if I were armed with your knowledge, I'd be tempted to keep quiet whilst hoovering up as much property as I could get leverage for....

Look, you've got no choice. You've been done over by your government. No one reads this site. Its quality has gone markedly downhill since the "upturn". Everyone believes in the religion of HPI. Debt? Schmedt... It's a done deal. The government decided they were happy to hobble the pound and raise taxes in the future (on the young or unborn generations) rather than suffer the calamity of (shock) falling prices. Can you smell the greed? Or at least the ignorance.

But who knows? Who understands out there? No one.

It's now over. The shock/denial bit of the psychology curve is not the market, it's our reaction to the bail out. "They wouldn't dare", "oh my god, how can they do that?", "what about future taxes?", "they've only kicked the can down the road", "they've risked the our sovereign rating", "dear god, that's BOLD", "why, why, why?'"....

People haven't quite realised how f*cked they are. And even if they did they'd do nowt about it.

We get the government we deserve.

8-12% hpi by Q3 2010 is baked in the pie. Can you begin to imagine the general elation? Feeling the panic yet? Others will, and they'll happily sign up to a slave box and commit more of their hard earned than you will. And the genius is you have the play the game. There are no prizes for being smart. 3-5 years later it will all come crashing down hard. What do you want then? More paper money? I think not.

It's over. You've been turned over. Walk away, riot, or give up. There is no try.

[FreeTrader]

Updated fall from peak chart:

[MississippiJohnHurt]

Look, you've got no choice. You've been done over by your government. No one reads this site. Its quality has gone markedly downhill since the "upturn". Everyone believes in the religion of HPI. Debt? Schmedt... It's a done deal. The government decided they were happy to hobble the pound and raise taxes in the future (on the young or unborn generations) rather than suffer the calamity of (shock) falling prices. Can you smell the greed? Or at least the ignorance.

But who knows? Who understands out there? No one.

It's over. You've been turned over. Walk away, riot, or give up. There is no try.

I understand your frustration (and share it in some ways), but I think the false market will end quicker than you - before a crack up boom has time to form.