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House Prices 'now At 2006 Levels'

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http://www.bbc.co.uk/news/business-10789361

House prices 'now at 2006 levels' Prices have shown relatively little change in recent months House prices in England and Wales are now at similar levels to those seen in the summer of 2006, according to the Land Registry.

However, property values crept up by just 0.1% from May to June, taking the average cost of a house to £166,072.

Prices were 8.4% higher than a year ago - the eighth consecutive month that there has been a year-on-year rise.

Various commentators have suggested that house prices are likely to remain relatively static in 2010.

The Land Registry's survey is widely regarded as the most authoritative, although it only covers England and Wales.

Regional breakdown

All regions of England and Wales have seen average property prices rise in the year to June, the Land Registry said.

The highest increase was in London - up 12.2% - with the smallest in the North East of England - up 0.7%.

However, the North East has seen typical house prices drop by 1.3% in the month from May to June. The highest month-on-month rise was in Wales, up 2.9%.

REGIONAL RISE

Continue reading the main story

Biggest annual rise - London: 12.2% Biggest monthly rise - Wales: 2.9% Source: Land Registry

Over the last year, the value of semi-detached homes has accelerated faster than other types of property, up by 9.6%, ahead of detached homes, up 9%, and flats, up 8%.

The latest figures from HM Revenue and Customs show that the number of homes sold in the UK in June rose by 21% from May to 86,000. The sales figures were the highest this year and were up 15% on the same month last year.

A general rise in house prices, which started in the spring of 2009, seems to have reached a plateau this summer, according to the most recent surveys from the Nationwide building society and the Halifax bank.

Forecasts

Extra austerity measures could reduce people's confidence about buying homes, according to Howard Archer, of IHS Global Insight.

"The only marginal house price rise in June reported by the Land Registry maintains our belief that house prices will fall back over the latter months of 2010 and very likely soften further in 2011," he said.

In real terms, house prices could fall by 8% from now to 2015, according to a report by the National Institute of Economic and Social Research (NIESR).

"While we have assumed the housing market remains stable, there remains the risk that house prices in the UK could decline at a more rapid pace," the report said.

"By 2015, real house prices are expected to fall back only to the level of 2003."

A separate forecast published earlier this months by accountants PricewaterhouseCoopers suggested that house prices might not reach the levels seen at the peak of the market for another decade.

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Nominally stable but only 8% down in real terms over 5 years?

How is that bear food or are you all applauding the fact that the MSM are sofening the sheeple up for house price falls?

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Nominally stable but only 8% down in real terms over 5 years?

How is that bear food or are you all applauding the fact that the MSM are sofening the sheeple up for house price falls?

Slowly slowly catchy monkey. ;)

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<br />Hello? this is the BBC we're talking about<br />
<br /><br /><br />

For those of you with long memories (much discussed on HPC threads) >>>

The registry results have been messed around with for years (ie they started excluding stuff to make figures look better than reality) during the labour mis_government = Mis_lead.

You have to look back and see whats been "excluded" (over the years) from their 'results' for the real picture!!

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<br /><br /><br />

For those of you with long memories (much discussed on HPC threads) >>>

The registry results have been messed around with for years (ie they started excluding stuff to make figures look better than reality) during the labour mis_government = Mis_lead.

You have to look back and see whats been "excluded" (over the years) from their 'results' for the real picture!!

Anything that they consider to be not a true reflection of the Market. House sales for example are apparently not a true reflection if they are sold at auction? Repossesions also don't count.

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http://www.bbc.co.uk/news/business-10789361

House prices 'now at 2006 levels' Prices have shown relatively little change in recent months House prices in England and Wales are now at similar levels to those seen in the summer of 2006, according to the Land Registry.

However, property values crept up by just 0.1% from May to June, taking the average cost of a house to £166,072.

Prices were 8.4% higher than a year ago - the eighth consecutive month that there has been a year-on-year rise.

Various commentators have suggested that house prices are likely to remain relatively static in 2010.

The Land Registry's survey is widely regarded as the most authoritative, although it only covers England and Wales.

Regional breakdown

All regions of England and Wales have seen average property prices rise in the year to June, the Land Registry said.

The highest increase was in London - up 12.2% - with the smallest in the North East of England - up 0.7%.

However, the North East has seen typical house prices drop by 1.3% in the month from May to June. The highest month-on-month rise was in Wales, up 2.9%.

REGIONAL RISE

Continue reading the main story

Biggest annual rise - London: 12.2% Biggest monthly rise - Wales: 2.9% Source: Land Registry

Over the last year, the value of semi-detached homes has accelerated faster than other types of property, up by 9.6%, ahead of detached homes, up 9%, and flats, up 8%.

The latest figures from HM Revenue and Customs show that the number of homes sold in the UK in June rose by 21% from May to 86,000. The sales figures were the highest this year and were up 15% on the same month last year.

A general rise in house prices, which started in the spring of 2009, seems to have reached a plateau this summer, according to the most recent surveys from the Nationwide building society and the Halifax bank.

Forecasts

Extra austerity measures could reduce people's confidence about buying homes, according to Howard Archer, of IHS Global Insight.

"The only marginal house price rise in June reported by the Land Registry maintains our belief that house prices will fall back over the latter months of 2010 and very likely soften further in 2011," he said.

In real terms, house prices could fall by 8% from now to 2015, according to a report by the National Institute of Economic and Social Research (NIESR).

"While we have assumed the housing market remains stable, there remains the risk that house prices in the UK could decline at a more rapid pace," the report said.

"By 2015, real house prices are expected to fall back only to the level of 2003."

A separate forecast published earlier this months by accountants PricewaterhouseCoopers suggested that house prices might not reach the levels seen at the peak of the market for another decade.

Most people will find all this house prices in relation to years eg now at 2006, or by 2015 we'll be at 2003 pretty irrelevant to their daily lives as they have bought in the past at a previous price and have a mortgage... the two most important things to them is the rate they pay their mortgage at and the value in nominal terms of their house.... people do not seem to grasp that "real" prices are not the be all and end all for the vast majority of homeowners... if you tell them they'll get less than they paid for their house then that will get their attention... tell them in 2015 that they'll get £25k more but actually its 15% less and they'll not really be bothered.

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Most people will find all this house prices in relation to years eg now at 2006, or by 2015 we'll be at 2003 pretty irrelevant to their daily lives as they have bought in the past at a previous price and have a mortgage... the two most important things to them is the rate they pay their mortgage at and the value in nominal terms of their house.... people do not seem to grasp that "real" prices are not the be all and end all for the vast majority of homeowners... if you tell them they'll get less than they paid for their house then that will get their attention... tell them in 2015 that they'll get £25k more but actually its 15% less and they'll not really be bothered.

Most people just understand that it is very hard to sell houses and nearly impossible to get peak prices? a big change from three or four years ago? this sort of sentiment shift is what will cause panic and serious price cutting, a race to the bottom if you will.

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Most people will find all this house prices in relation to years eg now at 2006, or by 2015 we'll be at 2003 pretty irrelevant to their daily lives as they have bought in the past at a previous price and have a mortgage... the two most important things to them is the rate they pay their mortgage at and the value in nominal terms of their house.... people do not seem to grasp that "real" prices are not the be all and end all for the vast majority of homeowners... if you tell them they'll get less than they paid for their house then that will get their attention... tell them in 2015 that they'll get £25k more but actually its 15% less and they'll not really be bothered.

...so a property may be worth the same or even more, but when you cash it in the proceeds will buy far less than what it does today....that is a real price drop. ;)

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Nominally stable but only 8% down in real terms over 5 years?

How is that bear food or are you all applauding the fact that the MSM are sofening the sheeple up for house price falls?

I think its considered bear food because the uber-bears on this site have realligned their expectations and no longer expect 50% drops etc but will be happy with 0% HPI whilst pretending to themselves they'll get wage increases of 10% each year so in real terms they'll be better off.

Meanwhile, those who STRed in 2005 are looking forward to the day when their fund will buy them something equivalent to what they sold then (assuming they didn't lump it all on the FTSE.....)

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...so a property may be worth the same or even more, but when you cash it in the proceeds will buy far less than what it does today....that is a real price drop. ;)

I think abharrison was making the point that people don't view things logically. Compounding, inflation, the present value of money are enigmas to the vast majority of people unless you equate it to how much Kelly Brook could be earning in todays money if she stays on the front page and inflation is 5% per annum for ten years. Now that would mean something.

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I think abharrison was making the point that people don't view things logically. Compounding, inflation, the present value of money are enigmas to the vast majority of people unless you equate it to how much Kelly Brook could be earning in todays money if she stays on the front page and inflation is 5% per annum for ten years. Now that would mean something.

People understand that "back to 2006 prices" means a loss, they have lost something, gains wiped out they are a loser, in the same way that "House prices doubled, trebled" means you are a winner, you have gained something. The BBC now have a mandate to decrease expectation, hence the simple rolling backwards of the rhetoric from Celeb Winners to Austere Hero`s, sacrificing, going without, scaling back in time without complaining.

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People understand that "back to 2006 prices" means a loss, they have lost something, gains wiped out they are a loser, in the same way that "House prices doubled, trebled" means you are a winner, you have gained something. The BBC now have a mandate to decrease expectation, hence the simple rolling backwards of the rhetoric from Celeb Winners to Austere Hero`s, sacrificing, going without, scaling back in time without complaining.

Its only a loss if:-

1. you bought after 2006 and are considering STR

2. you take the sheeple view that your imaginery wealth has increased over the boom years, but didn't sell up

You're only a winner/loser when you cash out :)

And yes, we do need to turn around expectations, but it looks like its happening already in the mainstream media. When Phil Spencer is hoping at best for 1-2% increases in HPI for the next few years, you know the tide is turning. I wonder how much bearish stuff needs to come out for him to hope for only 1-2% drops per year?

Edited by theonlywayisdown

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Its only a loss if:-

1. you bought after 2006 and are considering STR

2. you take the sheeple view that your imaginery wealth has increased over the boom years, but didn't sell up

You're only a winner/loser when you cash out :)

Yes that is correct. Many people plan around the imaginary gains or losses. Low market volumes may change with people feeling they have lost out and might lose out some more if they don't sell soon.

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  • 152 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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