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Comedy Pre-Peak House Price Articles

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I stumbled across a few fantastic 2006/2007 House Price articles this afternooon which I thought I would share, If you can find any more would love to see them, post your submissions... award will go to the poster who submits the most horribly wrong prediction

Here are a couple to make you smile.....

July 2006

"Average House Price £300k In 5 Years Claims Report"

http://money-watch.co.uk/484/average-house-price

:lol:

September 2006

Property In “excellent Health” Says Bank Of England

http://money-watch.co.uk/708/moneyexpert-property-in-excellent-health-says-bank-of-england

And one accurate one from the archives...

November 2006

"The 125% mortgage debt warning"

http://www.thisismoney.co.uk/mortgages-and-homes/article.html?in_article_id=414437&in_page_id=8

Edited by Roost

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You didn't link properly, but that 2006 headline with the BoE saying property is in "excellent health" is a poignant reminder of just how trustworthy/capable our leaders are.

EDIT: Now you have! B)

Edited by General Congreve

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That NHF prediction is terrific, but it shows why so many young people became convinced that they had to mortgage up to the eyeballs to avoid 'missing the boat'.

The 'Excellent Health' headline is misleading, though, as the BoE did not say this. Instead, the BoE rleased figures which showed high numbers of transactions, with RICS then commenting that the housing market was in excellent health:

"New mortgage figures indicate that the UK housing market is in “excellent health” the Bank of England has said.

More than 120,000 mortgages were approved in July, well above the long term monthly average of 95,000, and significantly above the recent low of 77,000 in November 2005.

“The housing market remains in excellent health, with a strong economy and investor activity fuelling demand,” said David Stubbs, economist at the Royal Institution of Chartered Surveyors (Rics)."

Meanwhile, Foxtons founder Jon Hunt was looking for the exit by offloading his EA chain onto idiot private equity investors.

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I stumbled across a few fantastic 2006/2007 House Price articles this afternooon which I thought I would share, If you can find any more would love to see them, post your submissions... award will go to the poster who submits the most horribly wrong prediction

Here are a couple to make you smile.....

July 2006

"Average House Price £300k In 5 Years Claims Report"

http://money-watch.co.uk/484/average-house-price

:lol:

This appears to be a scare-mongering report from housing associations making the case for more houses to be built in order to increase affordability.

September 2006

Property In “excellent Health” Says Bank Of England

http://money-watch.co.uk/708/moneyexpert-property-in-excellent-health-says-bank-of-england

Arguably the market was in excellent health then. it was until 2008. The housing market is cyclical-the key is to get your timing right-or nearly right-more often than not.

For any cyclical market is easy to wheel out predictions that turn out as baloney. Capital Economics have been predicting gloon and doom since 2002:

http://www.marketoracle.co.uk/Article7183.html

If I'd taken head of them it would have cost me a six figure sum.

Edited by fflump

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That NHF prediction is terrific, but it shows why so many young people became convinced that they had to mortgage up to the eyeballs to avoid 'missing the boat'.

The 'Excellent Health' headline is misleading, though, as the BoE did not say this. Instead, the BoE rleased figures which showed high numbers of transactions, with RICS then commenting that the housing market was in excellent health:

"New mortgage figures indicate that the UK housing market is in “excellent health” the Bank of England has said.

More than 120,000 mortgages were approved in July, well above the long term monthly average of 95,000, and significantly above the recent low of 77,000 in November 2005.

“The housing market remains in excellent health, with a strong economy and investor activity fuelling demand,” said David Stubbs, economist at the Royal Institution of Chartered Surveyors (Rics)."

Meanwhile, Foxtons founder Jon Hunt was looking for the exit by offloading his EA chain onto idiot private equity investors.

Several people I know took out Interest Only, FTB mortgages during this period, for >100%LTV. Lenders were hard-selling these products at the time and when you're buying your first home most simply didn't know any better... Its unfortunate to have such a debt on your shoulders from so early on.

Edited by Roost

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This appears to be a scare-mongering report from housing associations making the case for more houses to be built in order to increase affordability.

Arguably the market was in excellent health then. it was until 2008. The housing market is cyclical-the key is to get your timing right-or nearly right-more often than not.

The housing market was completly rotten to the core. It collapsed the entire banking system which

required massive bailouts to stop residential and commerical property assets from collapsing the

UK government into defaulting on it's soverign debts.

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I caught the end of Phil and Krusty this morning in which they showed a couple of "investors" around properties in the SE. They eventually plumped for a Bristol flat which had been on the market at £155,000 for two years. Ever the tough negotiator, Phil suggested a low ball offer of £150k. Cue much nail biting before EA informs Phil that the offer has been accepted.

Fast forward 12 months (2009) and the flat is rented out, but the rental "doesn't quite" cover the interest only mortgage. Phil informs the couple that unfortunately the flat is now only worth 120k, but the couple don't seem to mind and still take time to say "Thanks!"

Well done, Phil! Another satisfied customer.

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I caught the end of Phil and Krusty this morning in which they showed a couple of "investors" around properties in the SE. They eventually plumped for a Bristol flat which had been on the market at £155,000 for two years. Ever the tough negotiator, Phil suggested a low ball offer of £150k. Cue much nail biting before EA informs Phil that the offer has been accepted.

Fast forward 12 months (2009) and the flat is rented out, but the rental "doesn't quite" cover the interest only mortgage. Phil informs the couple that unfortunately the flat is now only worth 120k, but the couple don't seem to mind and still take time to say "Thanks!"

Well done, Phil! Another satisfied customer.

.....my home/btl property is my pension, worth a gamble if got 30 to 40 odd years to go. :P

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I caught the end of Phil and Krusty this morning in which they showed a couple of "investors" around properties in the SE. They eventually plumped for a Bristol flat which had been on the market at £155,000 for two years. Ever the tough negotiator, Phil suggested a low ball offer of £150k. Cue much nail biting before EA informs Phil that the offer has been accepted.

Fast forward 12 months (2009) and the flat is rented out, but the rental "doesn't quite" cover the interest only mortgage. Phil informs the couple that unfortunately the flat is now only worth 120k, but the couple don't seem to mind and still take time to say "Thanks!"

Well done, Phil! Another satisfied customer.

:D:D:D:D:D

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2006. Reuters predicts FTBs in London will have to pay a minimum of £1M for a property:

http://www.housepricecrash.co.uk/forum/index.php?showtopic=37664

(Unfortunately, Reuters' archives only go back to 2007, so I can't link to the original article.)

Brilliant! did no-one ever wonder where these 20 something's would find said MILLION F-ING POUNDS! hahahah!!

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2006. Reuters predicts FTBs in London will have to pay a minimum of £1M for a property:

http://www.housepricecrash.co.uk/forum/index.php?showtopic=37664

(Unfortunately, Reuters' archives only go back to 2007, so I can't link to the original article.)

https://www.talktalk.co.uk/news/topnews/reuters/2006/11/06/million-pound-starter-home-by-2024.html

First-time buyers will have to fork out a cool million pounds to get a foothold on the property ladder in less than 20 years, data showed on Monday.

The average first-time buyer home in the UK will hit the million pound mark in the second quarter of 2024, if the current trend in house price and income growth continues, according to Stroud & Swindon Building Society.

It said that would equate to seven times the average salary, projected to be 146,188 pounds by then, if earnings continue to increase at current levels.

Those in Greater London will see the average first-time buyer property price soar above 1 million pounds the soonest -- within 12 years

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I remember when the £300k in 5 years article came out. People at work were warning me I needed to get "on the ladder" before it was too late. Did my best to explain that if nobody could afford houses then how could the price keep going up... They thought I was stupid... some of them still do :)

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  • 312 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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