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The Masked Tulip

More Than £2,000 Wiped Off The Average Value Of A House...

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'Figures published by the Nationwide yesterday show house prices fell by 0.7 per cent in October - a drop of nearly £2,400. They are now down by six per cent this year.'

Where did that come from? (not that I'm complaining to see it in print!)

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See the Telegraph thread - they are running a story that the fall is about the average salary.

You must be happy at this news - weren't you thinking Nationwide was going to try and conjure up a rise?

I was referring to the down 6% a year mentioned in the Mail.

Edited by rantnrave

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Personally, the knowledge that I haven't lost 8K of equity in the last two months has cheered me up no end :D

Yes, for the first time in many years us HPCers can actually begin to see the light - i.e. the falls greater than ou rental costs.

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Yes, for the first time in many years us HPCers can actually begin to see the light - i.e. the falls greater than ou rental costs.

It's also 8K less I'll need to borrow from the bank when I decide to buy... which isn't looking imminent.

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Tomorrow's Daily Mail - you will like this article - no doubt we need to add some comments.

Read more: http://www.dailymail.co.uk/news/article-1324436/More-2-000-wiped-average-price-house--fall-20-affordable.html?ito=feeds-newsxml#ixzz13gfQMlKm

Good article, and with a good graph. :)

I liked this comment.

LOL at the posters name.

"As a pensioner with my mortgage cleared it does not affect me but I would like to see prices tumble so that the young have a chance to get on the ladder."

- old fart, st ives cambs england, 28/10/2010 18:55

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It's also 8K less I'll need to borrow from the bank when I decide to buy... which isn't looking imminent.

Its a dangerous game you're playing, I mean you're trapped between some lunatics with a magic printing press, a total collaspe and tons of VIs.....

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I like the picture of a monopoly house. It symbolises how the housing market is.

£50-200 (000) to buy a house from the bank. And you can sell it back for half price. The mortgages people use effectively double the cost of the house.

Build a hotel and get more money. With the doleys and low wage workers passing go to get the housing benefit needed to rent a room in the shared house, sorry, hotel.

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I like the picture of a monopoly house. It symbolises how the housing market is.

£50-200 (000) to buy a house from the bank. And you can sell it back for half price. The mortgages people use effectively double the cost of the house.

Build a hotel and get more money. With the doleys and low wage workers passing go to get the housing benefit needed to rent a room in the shared house, sorry, hotel.

And the stations cost a fortune too, much like British public transport.

In China you can get a train that travels over 200 miles an hour. You can travel 126 miles first class for £13 in 45 minutes.

In the UK you'd be mad to get a train 126 miles, it would cost more than a flight and take a lot longer too!

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And the stations cost a fortune too, much like British public transport.

In China you can get a train that travels over 200 miles an hour. You can travel 126 miles first class for £13 in 45 minutes.

In the UK you'd be mad to get a train 126 miles, it would cost more than a flight and take a lot longer too!

Not if you book a couple of weeks ahead. I'll give you that Chinese trains can run faster, but their network is far less extensive and wasn't expanded off of Victorian construction.

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From the comments...

I am an estate agent in Worcestershire and recall that in Autumn 2007 the International Monetary Fund voiced the opinion that UK property prices at that time were 30% over-valued, by any sensible means of measurement. This seemed to me at the time to be hugely pessimistic, though of course no-one really knew then how deep the water was about to get.

Suffice to say that 3 years later, in the cold light of day, I have every reason to believe the IMF were probably spot on. Prices today are most certainly falling, and it is inevitable that a further correction has to take place before average properties become affordable again to people of average means.

By 'average means' I refer to the amount of money that an average buyer can put their hands on. Gone, thankfully, are the days of 5 or 6 x salary mortgages. The new norm will probably in fact be the old norm: 2.5 to 3 x joint salary plus decent deposit.

House prices NEED to fall by 10-20% to become affordable again (and will).

- Fred Bloggs, Middle England, 29/10/2010 00:28

Another bear-feast in the MSM today and some wonderful comments too.

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Sibley was up early

A homeowner would not enter the market now. There is no need.

The banks will start lending again soon and this blip will be forgotten. I wouldn't want to sell my house and watch prices rise afterwards. These articles get taken over by renters hoping to create panic in the market. It has not worked where I live in the SE. Prices are as good as ever.

- Sibley., Maidstone Kent UK, 29/10/2010 05:59

Read more: http://www.dailymail.co.uk/news/article-1324436/More-2-000-wiped-average-price-house--fall-20-affordable.html?ito=feeds-newsxml#ixzz13j1DuIyp

Edited by Money Spinner

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So Sibley wants to dry up supply to push prices up?

Just take a look at the rhodium market - much more scarce supply and even more highly manipulated.

He's an EA, who can make money up and down markets.

Take a tip, never fall in love with your investments. Cut your losses short and let your winners run. I bet you'll make more money from your day job next year, than from capital gains losses and rental income voids. Get your vendors down.

Edited by Money Spinner

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Good article. This needs to keep going. I am starting to feel excited about this again, like in 2008.

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And the stations cost a fortune too, much like British public transport.

In China you can get a train that travels over 200 miles an hour. You can travel 126 miles first class for £13 in 45 minutes.

In the UK you'd be mad to get a train 126 miles, it would cost more than a flight and take a lot longer too!

In China a typical urban middle class salary in a major city is around the £600/mth mark.

Anyway, my fav quote:

The group said a typical first-time buyer needed to save more than £37,000 to buy an average priced starter home but they earn an average of less than half this amount at just £16,400 a year.

Bear food!

:)

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  • 245 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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