Countrywide:no. Of Homes For Sale Up 38% Week On Week

[LittleSteroid]

no HPC thou

[_w_]

no HPC thou

It could have a psychological impact on vendors (and buyers).

[Mega]

Like that Atomic reactor in Russia, in the last monments, everyone KNEW it was going to blow!

House Warp core brech !

Mike

[Chest Rockwell]

CGT Increase + HIPS Abolition + Interest Rate Hike + lack of Mortgage Credit = bad day for Hamish McTavish!

Guys, don't forget the many estate agenst with mini-BTL empires! They'll be fricken shitting it at the moment!

Crikey, it's as if the Tories know that the game is up and they are going to cash in on it before the total collapse.

It's amazing really, just like Michael Moore put forward that it's as if the 'elite' will not allow the middle class sheeple to get rich! Sure, they'll give them a taste but when the time comes they'll yank it away with total brutallity!

On a different note, it's as if they want us on benefits...but now that's going to be 'working' for those benefits!

The end is nigh for the middle class!

[Guest The Relaxation Suite]

http://www.dailymail.co.uk/news/article-1282360/The-growing-CGT-rebellion-Fear-tax-grab-sparks-mass-sale-homes-shares.html

'Homes are flooding on to the property market and shares are being dumped by worried investors who hope to dodge the Government's controversial plans to hike Capital Gains Tax.

The country's biggest estate agency group, Countrywide, said the number of homes put up for sale in the past week was 34 per cent higher than the week before and 68 per cent higher than this time last year.

Investment experts believe plans to increase the tax on profits made on 'buy to let' properties and share portfolios are a key element of the great rush to sell. '

this link was highlighted in another thread.

http://www.housepricecrash.co.uk/forum/index.php?showtopic=143999 by alfie moon

the most salient fact to me was as above a 34% jump week on week in properties.and imho opinion deserving of a thread on it's own.this is exactly the sort of increase in supply needed to decimate prices.I remember reading an FT piece a decade ago which suggested that a 5% increase in supply or demand affected house prices by 20%.a potentially frightening asset price deflation in the offing if mixed with a currency crisis(thereby increasing the fixed costs of living food/fuel versus the variable,the size/no. of your bedrooms) if that is the case.

eidt to add got the number in the title wrong,it's 34% week on week.cant change it

These figures mean a house price crash. Simple as that. What this tells me is that it will be made clear in the emergency budget of June 22 that CGT will be increased to some lame compromise (30%m for example) and many of these houses will be taken back off the market. Of course if they are on the market not for CGT reasons but general panic reasons, then nothing can hold this back.

[Chest Rockwell]

So what would be the overall effects on the banks? Would they require another bail out? If house prices do drop due to more supply then how would the banks react to such an event?

And then of course, just who woud buy these houses? With prices in free fall, mortgage credit will become even tighter due to the banks losses on their existing mortgage books!

Fecking hell...armageddon is on the way!

[Snugglybear]

And then of course, just who woud buy these houses?

Well exactly. How many buyers have the cash or sufficient large deposits plus a firm mortgage offer? How much are they able / prepared to pay?

For sales to go through, the vendors have to be willing to sell for prices the buyers are willing to pay (if cash buyers) or the lenders are willing to finance - not prices they "need" to pay off the mortgage, move up to a bigger/better property, finance their emigration or fund their retirement.. And that's not considering those who want the profit they expect to pocket from having owned or "owned" a house / flat apartment for x number of years.

So although there may be loads of properties coming on to the market, how many of them will actually sell?

There's a house round the corner from us that's been on the market since February 2008. If it's still for sale in February 2011, I'm going to take a cake with three candles on it and put it on the doorstep.

[Shrink Proof]

And then of course, just who woud buy these houses?

Who indeed? And no-one contributing to this thread has even mentioned imminent large scale public sector job losses yet...

[Georgia O'Keeffe]

Who indeed? And no-one contributing to this thread has even mentioned imminent large scale public sector job losses yet...

or the accompanying large scale private sector job losses that go hand in hand.

Edited May 30, 2010 by Tamara De Lempicka

[mrpleasant]

Who indeed? And no-one contributing to this thread has even mentioned imminent large scale public sector job losses yet...

We need an acronym for this, it's going to get so tiring repeatedly typing it over the next year or two.

[dances with sheeple]

Well exactly. How many buyers have the cash or sufficient large deposits plus a firm mortgage offer? How much are they able / prepared to pay?

For sales to go through, the vendors have to be willing to sell for prices the buyers are willing to pay (if cash buyers) or the lenders are willing to finance - not prices they "need" to pay off the mortgage, move up to a bigger/better property, finance their emigration or fund their retirement.. And that's not considering those who want the profit they expect to pocket from having owned or "owned" a house / flat apartment for x number of years.

So although there may be loads of properties coming on to the market, how many of them will actually sell?

There's a house round the corner from us that's been on the market since February 2008. If it's still for sale in February 2011, I'm going to take a cake with three candles on it and put it on the doorstep.

and write HPC in the icing?

[caparn]

The sudden increase in houses on the market also has a lot to do with the removal of House Information Packs (HIP).

[dances with sheeple]

It's going to be interesting to see how they try to avoid this one.

with bank leverage,a lot of that depends on the constituents of their capital base.a vicious circle of falling prices forcing capital losses forcing restictions on credit forcing falling pirces is certainly a possibility.

fishers paradox anyone? (copyright steve keen).

hopefully QE will have helped strengthen the capital bases of our banks.hopefully,they won't be too exposed to sovereign default.

They have QE, and they will be working out exposure, they will try to punt repo`s at much lower cost but at much higher/stricter rates, the types of people who wanted to work for banks the last decade won`t want to work for them next decade? Many people will just pay down their mortgage, hating every minute of their negative equity, but fearing losing their home, others will have small or no mortgage and will just have to swallow the fact that the casino is shut, some will be forced out of their deals or will wish to default, the government and banks are hoping this latter group is of a manageable size? The banks and government know it must pop at some point, they just have to position themselves the best they can, and have done a good job so far of keeping the daft expectations alive?

[R K]

I'm rather sceptical this will go through.

Merv didn't print up £200bn and pour £850bn or whatever it is into the banks to see it all go up in a puff of smoke due to a tax change in the budget.

The BoE's entire strategy rests on supporting asset prices and deflating over the long term.

I really can't see the Tories sh1tting on their own doorstep - they'll trigger another banking crisis, a currency crisis and probably a political crisis.

I reckon it won't be as it's being trailed - BTL is still totally f*cked though.

[Snugglybear]

We need an acronym for this, it's going to get so tiring repeatedly typing it over the next year or two.

Large Scale Public Sector Losses of Jobs - LSPSLJ, pronounced Lasp-sludge

Or

Lots of Jobs Losses in the Public Sector - LoJLPS, prounounced Lodge-lips

Edited for clarity

Edited May 30, 2010 by Snugglybear

[geoffk]

Well exactly. How many buyers have the cash or sufficient large deposits plus a firm mortgage offer? How much are they able / prepared to pay?

For sales to go through, the vendors have to be willing to sell for prices the buyers are willing to pay (if cash buyers) or the lenders are willing to finance - not prices they "need" to pay off the mortgage, move up to a bigger/better property, finance their emigration or fund their retirement.. And that's not considering those who want the profit they expect to pocket from having owned or "owned" a house / flat apartment for x number of years.

So although there may be loads of properties coming on to the market, how many of them will actually sell?

There's a house round the corner from us that's been on the market since February 2008. If it's still for sale in February 2011, I'm going to take a cake with three candles on it and put it on the doorstep.

There is one by me that has just had its 4th birthday on the market..i sent a birthday card via rightmove to the ea..it started off at 315k and now 280k...i wish them well.

[Realistbear]

http://uk.finance.yahoo.com/news/more-properties-for-sale-as-hips-axed-tele-d9b67ab31464.html?x=0

16:12, Sunday 30 May 2010

The number of properties coming on to the market has risen following the abolition of home information packs (Hips), according to

Rightmove

(LSE: RMV.L - news) , a property website.

The group said listings on its website had soared by 35pc in the seven days after the Government said it was scrapping the controversial packs with immediate effect.

Miles Shipside, commercial director of Rightmove, said: "We would expect to see a post-election pickup in fresh stock coming to the site as people have been put off by the uncertainty of the election recently.

"

However 35pc is a significant increase in new listings

, and indicates that many more speculative sellers have been encouraged to bring their properties to market since Hips were scrapped.

I suspect it has almost nothing to do with HIPS and everything to do with trouser filling fear.

[winkie]

no HPC thou

The ones that fail to reduce the price won't sell........I have seen houses that have been on the market for over a year or more....future higher CGT together with the abolishment of the HIP so no initial outlay, means can test the market, but no drop in price = no sale....sellers will be chasing the few that are able and want to buy at the right price, and have or can lay their hands on the available cash

[Georgia O'Keeffe]

http://uk.finance.yahoo.com/news/more-properties-for-sale-as-hips-axed-tele-d9b67ab31464.html?x=0

"However 35pc is a significant increase in new listings, and indicates that many more speculative sellers have been encouraged to bring their properties to market since Hips were scrapped.[/indent]

I suspect it has almost nothing to do with HIPS and everything to do with trouser filling fear.

i suspect your negative bias is showing it is more likely due to the philanthropic nature of multiple homeowners, they have had a good few years/decades of rising prices and at this stage would very much like to give something back by allowing somebody else the similar opportunity over the next decade,

Edited May 30, 2010 by Tamara De Lempicka

[Tricksy]

This data needs to be read and interpreted carefully.

There aren't 34% more homes on sale this week. 34% more homes were put up for sale during this week than last week.

Edited May 30, 2010 by Tricksy

[Pent Up]

This data needs to be read and interpreted carefully.

There aren't 34% more homes on sale this week. 34% more homes were put up for sale during this week than last week.

so for example last week there 100 new listings. This week there were 134 new listings.

Not last week there were 1m properties on the market last week and now there are 1.34m.