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Hpc Offered Price Index

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Some house price indexes are based on asking prices, which are as useful as a chocolate teapot when assessing house price inflation deflation.

Offered prices are just as valid as asking prices.

So let's make really low offers for obviously overpriced properties, and reduce the offers monthly, collate the figures, and publish them.... the HPC OPI.

If we sent it to the press, we could make a serious point.

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Some house price indexes are based on asking prices, which are as useful as a chocolate teapot when assessing house price inflation deflation.

Offered prices are just as valid as asking prices.

So let's make really low offers for obviously overpriced properties, and reduce the offers monthly, collate the figures, and publish them.... the HPC OPI.

If we sent it to the press, we could make a serious point.

Very good idea. I'm in.

Edited by RegularInv

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I think this idea's got legs.

However, I have no intention of viewing or offering for 12-18 months and maybe much more. would it be acceptable to post a link to a prop you like and how much you would offer and the percentage discrepancy?

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I think this idea's got legs.

However, I have no intention of viewing or offering for 12-18 months and maybe much more. would it be acceptable to post a link to a prop you like and how much you would offer and the percentage discrepancy?

Oh crap... now I have to organise it... :blink:

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Oh crap... now I have to organise it... :blink:

I asked the new government about house price stats. I suggested a more balanced/weighted stat may be required in light of low sale transactions and inflated asking prices. I got this reply...

10 June 2010

Dear Dr *****

Thank you for your email dated 24th May 2010 about house price indices. As it is not practical for Ministers to respond to all the letters they receive, I have been asked to reply on their behalf.

As you mentioned in your email, house prices rose significantly under the past Government. On some indices house prices have roughly trebled since 1997. We recognise this has not been beneficial to everyone, especially potential first-time buyers.

In your email you question the accuracy of the various house price indices. It is more difficult to measure house prices than the price of many other goods. This is due to three reasons:

* Firstly, no two properties are the same. Even if they are structurally identical, they still cannot occupy the same location. Therefore, it is not always possible to accurately forecast the sales price of a property from the price of another.

* Secondly, dwellings rarely sell at their asking price; the price at which a home is sold at is typically reached through negotiation or at auction. As a result, the advertised price can be a poor guide of the final price at completion. On the contrary, other goods have advertised list prices and many financial assets are traded on exchanges with quoted bid and offer prices.

* Finally, properties are generally not sold very often, for example, during the 2000s, on average; the number of private properties sold per year was around 6 percent of the total stock. At this rate, each house would be sold on average approximately once every 16 years. This suggests that the most recent selling price of a given house will be an unreliable indicator to the price it would sell at today.

There are a number of house price indices such as those compiled by the Nationwide, Halifax, Department of Communities and Local Government and Rightmove, which all use different methodology when compiling house prices. We feel that using several of these indices in conjunction can give us a fairly reliable picture of house prices. If you require more detail, the majority of these indices have more detailed information on how they are compiled on their relevant websites. Given this we do not currently have any plans to construct a new house price index, though we wish you luck in developing your idea.

Yours sincerely,

Daniel Steel

Macroeconomic Analysis

Macroeconomic and Fiscal Policy

HM Treasury

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  • 142 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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