eric pebble Posted June 27, 2010 Share Posted June 27, 2010 Prime property most at risk of slump, says Savills. London warned that its upmarket stock faces slower growth after 'the feel bad factor' hits homes. Ahh!........... What a shame...... http://www.telegraph.co.uk/finance/newsbysector/constructionandproperty/7856531/Prime-property-most-at-risk-of-slump-says-Savills.html Quote Link to comment Share on other sites More sharing options...
Lord D'arcy Pew Posted June 27, 2010 Share Posted June 27, 2010 How many Million Pound + houses are being rented out? With a Cap being introduced on housing benefits, I expect these" investment" properties are less attractive to buyers. Quote Link to comment Share on other sites More sharing options...
Guest KingCharles1st Posted June 27, 2010 Share Posted June 27, 2010 Eric, would appear all the HPC Ducks are just about all neatly lined up in a row now. Take my place of employment for example, I\m contracting in, but are due for 120 post/people redundancy announcements a week next Tuesday. This will wipe out around 60% white collar but qualified people, 10% early retirees etc, and the last 30% from the workforce that actually create wealth. I assume this will kill the potential of these people to save hard cash /pay their mortgages/ god knows what else. I am starting to think we are far closer to the Ireland model than we currently realise... Quote Link to comment Share on other sites More sharing options...
Pent Up Posted June 27, 2010 Share Posted June 27, 2010 (edited) Yolande Barnes, head of residential research at Savills, said a "second slip" in prime values is now "inevitable" if prime property in London can't hold up them the rest of the country is buggered! I do like when even estate agents are bearish. Edited June 27, 2010 by Pent Up Quote Link to comment Share on other sites More sharing options...
plummet expert Posted June 27, 2010 Share Posted June 27, 2010 Eric, would appear all the HPC Ducks are just about all neatly lined up in a row now. Take my place of employment for example, I\m contracting in, but are due for 120 post/people redundancy announcements a week next Tuesday. This will wipe out around 60% white collar but qualified people, 10% early retirees etc, and the last 30% from the workforce that actually create wealth. I assume this will kill the potential of these people to save hard cash /pay their mortgages/ god knows what else. I am starting to think we are far closer to the Ireland model than we currently realise... Likewise. The headine is misleading IMHO. If prime London central falters, you can be sure that everywhere else will do so. Prime London will usually be the first to recover. The wobbles referred to in the article certainly apply in Sussex. The uncertainty factor, before the detail on the cuts mean many will do nothing about buying. It is the tipping point, along with great financial market uncertainty. It is 'confidence' which is waning fast. The HPC is on the way. Quote Link to comment Share on other sites More sharing options...
Mikhail Liebenstein Posted June 27, 2010 Share Posted June 27, 2010 if prime property in London can't hold up them the rest of the country is buggered! I do like when even estate agents are bearish. Though to be fair, prime property in London never real fell in terms of Sterling, just every other currency know to man. Â Gut feeling is that we are now in for a dose of rising Sterling, which means that for London property to remain competitive internationally in needs to fall in Pounds and Pence. Â We are now 1.21 against the Euro, and I suspect the Euro has further to fall. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted June 27, 2010 Share Posted June 27, 2010 Paper millionaires about to see their wealth diminish? Quote Link to comment Share on other sites More sharing options...
EvilEdna Posted June 27, 2010 Share Posted June 27, 2010 Depends who you believe doesn't it: http://www.guardian.co.uk/business/2010/jun/12/london-property-boom-far-east-investors I seem to remember Savills saying the exact opposite themselves about 6 months ago but can't find the article. Quote Link to comment Share on other sites More sharing options...
the flying pig Posted June 27, 2010 Share Posted June 27, 2010 fair play but why do they expend resources producing out with forecasts like this? hoping for a bit of subsidee for the sector, maybe? Quote Link to comment Share on other sites More sharing options...
grizzly bear Posted June 27, 2010 Share Posted June 27, 2010 if prime property in London can't hold up them the rest of the country is buggered! I do like when even estate agents are bearish. + 1 I was thinking maybe prime property wouldn't be affected as much due to overseas impact and also the people often have big salaries and big deposits. Quote Link to comment Share on other sites More sharing options...
cashinmattress Posted June 27, 2010 Share Posted June 27, 2010 Prime property most at risk of slump, says Savills. London warned that its upmarket stock faces slower growth after 'the feel bad factor' hits homes. Ahh!........... What a shame...... http://www.telegraph.co.uk/finance/newsbysector/constructionandproperty/7856531/Prime-property-most-at-risk-of-slump-says-Savills.html Brit's in general like to attribute inflation in housing to objective market phenomena, but refer to negative inflation as a wholly subjective trend. It's all pants, and we are lambs to the slaughter. Banks = win. Quote Link to comment Share on other sites More sharing options...
eric pebble Posted June 27, 2010 Author Share Posted June 27, 2010 Brit's in general like to attribute inflation in housing to objective market phenomena, but refer to negative inflation as a wholly subjective trend. It's all pants, and we are lambs to the slaughter. Banks = win. Spot on! Quote Link to comment Share on other sites More sharing options...
Tired of Waiting Posted June 27, 2010 Share Posted June 27, 2010 (edited) oops. Edited June 27, 2010 by Tired of Waiting Quote Link to comment Share on other sites More sharing options...
eric pebble Posted June 27, 2010 Author Share Posted June 27, 2010 Ahem..... http://www.housepricecrash.co.uk/forum/index.php?showtopic=145941 Quote Link to comment Share on other sites More sharing options...
200p Posted June 27, 2010 Share Posted June 27, 2010 Hehe, we can have it twice. The premier estate agent staring inevitability in the face. Stock price looks like a double dip in motion also. http://bigcharts.marketwatch.com/charts/big.chart?symb=uk%3Asvs&compidx=aaaaa%3A0&ma=0&maval=9&uf=128&lf=1&lf2=0&lf3=0&type=2&size=2&state=10&sid=2291060&style=320&time=12&freq=2&comp=NO%5FSYMBOL%5FCHOSEN&nosettings=1&rand=1472&mocktick=1 Quote Link to comment Share on other sites More sharing options...
Kyoto Posted June 27, 2010 Share Posted June 27, 2010 (edited) I'm a keen follower of house prices but I find it difficult to get excited about falls in the 'prime' London market. It's in a different stratosphere to the rest of the UK and I don't think there's much we can conclude from the ups and downs within this small market. And it would need to be one hell of a crash before I'm lining up viewings of Chelsea townhouses. Edited June 27, 2010 by Kyoto Quote Link to comment Share on other sites More sharing options...
eric pebble Posted June 28, 2010 Author Share Posted June 28, 2010 Hehe, we can have it twice. The premier estate agent staring inevitability in the face. Stock price looks like a double dip in motion also. http://bigcharts.marketwatch.com/charts/big.chart?symb=uk%3Asvs&compidx=aaaaa%3A0&ma=0&maval=9&uf=128&lf=1&lf2=0&lf3=0&type=2&size=2&state=10&sid=2291060&style=320&time=12&freq=2&comp=NO%5FSYMBOL%5FCHOSEN&nosettings=1&rand=1472&mocktick=1 Interesting.... Quote Link to comment Share on other sites More sharing options...
Venger Posted June 28, 2010 Share Posted June 28, 2010 In its latest financial stability report on Friday, the Bank of England warned falling house prices were a risk to the economy and said that mortgage payments have only been affordable for many because of low interest rates. Shut up BoE. They are saying house prices can't be allowed to fall? You shouldn't have let values zoom upwards year after year you idiots. Those who've saved for a house are really getting shafted. Moral hazard is a total joke. Kyoto if those putting prime houses up for sale have to reduce values to sell, value pressure will cascade onto middle prime and so on won't it? Quote Link to comment Share on other sites More sharing options...
abharrisson Posted June 28, 2010 Share Posted June 28, 2010 How many Million Pound + houses are being rented out? With a Cap being introduced on housing benefits, I expect these" investment" properties are less attractive to buyers. I shouldn't think any owner of a million pound property is quaking at the prospect of their dss tenants leaving.. I'm sure theres the odd example but I've not seen too many central prime london 2/3 bed flats which are typically valued at that sort of level being available to rent for those with housing support nor have I come across too many councils willing to fund rental costs of circa £30,000 per annum for a two bedroom flat ( which is rouhgly how the numbers will work out for a 2 bed in prime central london which is valued at around £1miilion) If you'd said that there may be some trickle up effect with rent controls effectively bringing down rental in outlying areas which then has an effect on greater london which then has a knock on effect on prime central london then I would have agreed with you. Quote Link to comment Share on other sites More sharing options...
eric pebble Posted July 6, 2010 Author Share Posted July 6, 2010 Shut up BoE. They are saying house prices can't be allowed to fall? You shouldn't have let values zoom upwards year after year you idiots. ../ Correct. Quote Link to comment Share on other sites More sharing options...
Traktion Posted July 6, 2010 Share Posted July 6, 2010 Shut up BoE. They are saying house prices can't be allowed to fall? You shouldn't have let values zoom upwards year after year you idiots. Those who've saved for a house are really getting shafted. Moral hazard is a total joke. Kyoto if those putting prime houses up for sale have to reduce values to sell, value pressure will cascade onto middle prime and so on won't it? The problem is one of failing banks, should house prices plummet. Banks are leveraged for positive growth, not negative. Things go very bad for the banks when prices fall. The banks should never have been allowed to get us into this mess in the first place, but now we are between a rock and a hard place. Quote Link to comment Share on other sites More sharing options...
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