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The Masked Tulip

"bigger House Price Falls Than Anywhere In England"

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BBC Wales Today leading with "Bigger House Price Falls Than Anywhere in England"

Will post the video if it appears on iplayer.

Excellent news - this is from Wales Online:

Fall in South Wales house prices could be due to lack of first-time buyers

Aug 28 2010 by Claire Miller, South Wales Echo

A LACK of first-time buyers may be behind falling house prices in South Wales, experts have said.

Prices fell in 0.4% in Cardiff in July, with Merthyr Tydfil and Rhondda Cynon Taff experiencing bigger falls. Prices in the Vale of Glamorgan did not change month on month.

Tony Filice, a director of Kelvin Francis Chartered Surveyors in Cardiff, and a spokesman for the Royal Institution of Chartered Surveyors Wales, said the fall in prices might be due to a fall in demand as mortgages have become harder to find.

“This time last March, April we had banks and building societies offering first-time buyers mortgages with 10% deposits,” he said.

“Since the election what we’ve found is the banks and building societies are very selective about who they lend to and they’re asking for 20% deposit for first-time buyers.”

However, he said the picture varied, with houses in some areas of Cardiff commanding prices similar to during the August 2007 peak.

The figures, released yesterday by the Land Registry, suggest it is the lower end of the market where demand has fallen the most, with the number of sales of houses priced below £150,000 in Wales and England falling by nearly 10% in the year to May.

Mick McGuire, managing director of South Wales estate agents Peter Alan, said for those who are able to secure a mortgage, homes are affordable and lending is cheap, but for others buying a house was still a struggle.

It's interesting that they point to a lack of first time buyers as being the root of the problem. I see a parallel between this crash and the last in that last time around the bottom end of the market was a wasteland - I knew a guy who bought a one bed flat at £49k and ended up selling it for £18k. It seems to be that end of the market going this time too.

The estate agent appears clueless though when he describes homes as 'affordable' - clearly he doesn't know what the average single income in the region is!

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Excellent news - this is from Wales Online:

It's interesting that they point to a lack of first time buyers as being the root of the problem. I see a parallel between this crash and the last in that last time around the bottom end of the market was a wasteland - I knew a guy who bought a one bed flat at £49k and ended up selling it for £18k. It seems to be that end of the market going this time too.

The estate agent appears clueless though when he describes homes as 'affordable' - clearly he doesn't know what the average single income in the region is!

I won't bother posting the link to the video as they had an EA on and it seemed, IMPO, like an advert for estate agents. I was personally not impressed with the newsreader. I digress.

Yes, in Swansea there are vast numbers of no chain 2 up 2 down terraces for sale now - still way over-priced in asking price IMPO but I think it is only a matter of time now. When they collapse it will bring everything else down.

At the other end look how many 400K, 500K and more asking price houses there are for sale all over Wales. Huge amounts from the Monthmouthshire borderlands through Mid and West Wales - all well outside the prices of ordinary people in England let alone in Wales... and I am told the Londoners are selling up and getting up... without them buying, and buying en masse, surely that market will collapse also.

In fact, I think the only reason it has not is due to low IRs - I think you would need thousands of well paid City types to decide tomorrow to all buy a second home in Wales for any of those prices to be justified. It ain't happening and because so many of these asking prices are way over the top it will mean that, I guess, they will just sit there for years slowly slowly slowly being dropped in asking price?

I think too many EAs have got carried away with London money - for years now the joke in Swansea is that some local EAs would ignore you if you had a S'sea accent - but they have not yet got it into their heads that the Londoners are moving out and not in.

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  • 261 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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