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Rics Falls Again

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Index of those reporting house price falls over rises increases from 23 to 24.

(Reuters) - The number of houses sold in England and Wales reached an 18 month high in October as prices kept falling, a survey showed on Tuesday.

The Royal Institution of Chartered Surveyors' seasonally adjusted house price balance declined to -24 percent from -23 percent in September, below analysts' expectations of -23.

More of the chartered surveyors polled saw an increase in the number of houses sold, taking the net balance on agreed sales to +8, up from September's -3 and the best reading since April 2010.

This could reflect growing realism among sellers, the survey showed, as they now appear to be more willing to take offers in order to secure a sale.

"With the chaotic events in the euro area threatening to spill over to the UK and banks still imposing tough conditions on loans to first time buyers, any recovery in sales is still likely to be relatively modest," said RICS housing spokesperson Ian Perry.

London remains the only region where house prices are increasing, and is the only area where expectations for prices are positive.

Overall, enquiries from new buyers increased to 7 percent from 4 percent last month, while completed sales increased to a six-month high.

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Index of those reporting house price falls over rises increases from 23 to 24.

I saw on BBC teletext this morning the BBC were spinning this as a positive...activity had picked up or something like that.

More BBC Bias...they need to stick to reporting facts.

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That would be a first.

:lol:

They are usually Ok with the football results.

Thought I did see final score on Saturday and the over-paid presenter said something like...lets go over to Anfield where the final whilstle has been blown...commentator at anfield ( or wherever ) says, sorry over paid presenter the final whistle hasn't been blown....he commentates for 2 minutes then you hear in the background the whistle go and he says...you were right...the final whistle has been blown......errrr....no...she was wrong.

P.S. I assume she is over-paid....they all are IMHO.

Edited by TheCountOfNowhere

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BBC were spinning this as a positive..

:rolleyes: No surprise there then.

I heard this being reported very early this morning on Talk Sport, and they reported it fairly.

They briefly said more properties were sold, but at lower prices, apart from London where sold prices had gone up.

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The London figures and quotes all seem to point to a focus on quality, and bottom end not selling at all.

Seems to match what I'm seeing around me - ridiculous prices for the top end, while the bottom end actually looks cheap.

Shirley you mean "slightly less exorbitant than in the recent past"

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r

Looking at those charts TMT, Wales is starting to crash.

Prices over last 3 months, stocks of houses on books, new vendor instructions...all extreme.

You could be right, chatting with an agent (not instructed) about the auction of this hotel for £200,000(guide price). He believes may sell for £250,000 and needs about £50,000 investment for start-up (including water damage to the reception area).

What I did find interesting the company that own the hotel want it sold at any price.Allegedly :D

Edited by timebandit

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Looking at those charts TMT, Wales is starting to crash.

Prices over last 3 months, stocks of houses on books, new vendor instructions...all extreme.

Yes, I was just looking at them and my brain did a double take for a moment. Wales looks very bearish in the charts but it is not backed up by the spin in the comments by Welsh RICS people in the report. I suspect the charts tell the truth though.

I was in a pub on Sat night and got talking to an EA who works in one of the more 'optimistic' valuing firms in Swansea. I was told bluntly that, in this EA's view, that the crash would soon be back on and that things will get worse for house prices locally due to the banks apparently turning down mortgage after mortgage. Well done the banks.

Odd how London is showing as the lowest area for completed sales per surveyor over the past 3 months.

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New buyer enquiries picked up this month, the net balance increased from +4 to +7.

New vendor instructions jumped back into positive territory, with the net balance rising from -4 to +3.

So the increase in people wanting to sell is still more than those wanting to buy. Only one way for prices to go. And for sunny Scotland the first time since March 2009 that not even one surveyor reports prices rising in their area.

Seems like even in 'Scotland is different' land - delusion fatigue is starting to set in.

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Yes, I was just looking at them and my brain did a double take for a moment. Wales looks very bearish in the charts but it is not backed up by the spin in the comments by Welsh RICS people in the report. I suspect the charts tell the truth though.

Scotland looks exactly the same. Very worst sales expectations out of the entire country - yet at the same time 4th best expectations for prices. Mmmm :rolleyes:

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New buyer enquiries picked up this month, the net balance increased from +4 to +7.

New vendor instructions jumped back into positive territory, with the net balance rising from -4 to +3.

So the increase in people wanting to sell is still more than those wanting to buy. Only one way for prices to go. And for sunny Scotland the first time since March 2009 that not even one surveyor reports prices rising in their area.

Seems like even in 'Scotland is different' land - delusion fatigue is starting to set in.

Aye, but BBC Scotland can’t bring themselves to admit this – according to them the housing market is not dead, just “hibernating” ….awe, how cute

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This comment made me chuckle:

Derek Coates MRICS, Venmores,

Liverpool, Merseyside, 0151 236 0301

- The market remains flat. Purchasers

are utilising their position to drive even

harder bargains with vendors being

forced to accept unrealistic offers and

unreasonable deductions for minor

items of disrepair. The state of the

market continues to bring out the very

worst in people.

Those nasty buyers. Not wanting to pay over the odds for something. Sounds like he's been watching too much Krusty and Garrington.

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This comment made me chuckle:

Those nasty buyers. Not wanting to pay over the odds for something. Sounds like he's been watching too much Krusty and Garrington.

Yes, why can't it be like the good old days when a house is agreed sold at X price and then the seller tries to get more money by claiming that the price has been gazumped!? That did not bring out the most despicable in people did it?

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A couple of relevant anecdotals.

On Wales/Borders prices

I've been looking at HR2 and Monmouth areas on Rightmove using PropertyBee in the 350-500k range for the last couple of weeks. About 20% of the properties have price reductions many of 10% and some larger. They are often still too expensive with this though.

On mortgages

I had a mortgage approved on a repo that is good value, but lacks a kitchen. The lender placed a full retention on the property and it looks as though the mortgage won't go through. This is for a fairly expensive PPR. Seems daft to me to put a retention for the whole mortgage when it will only cost 15k to put in a nice kitchen. I could even front them the cash. The deposit is 30%.

I've heard of other well qualified borrowers (better than me) being approved for mortgages, then having them withdrawn.

This latter stuff seems to me to ensure prices will fall further. Having spent three months trying to buy the repo, with the threat at any time of another buyer gazumping me (the bank advertises on Rightmove what my offer is, and invites higher ones, its the way repos work), I'm now wondering if the price was too high. Could I gazunder a bank? Might be fun to try as I'm going off the idea of buying now I see the trend emerging for further significant falls.

Edited by EmpiricalBear

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Can't copy and paste but an agent from Essex seems to be saying that gazundering is becoming ever more popular. Other comments from the SE point to "unrealistic vendors" in "very much a buyers market" one even says they accept realistic offers rather than holding out and ending up taking even less in future.

Pretty much a bear feet from the ones I read :)

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Can't copy and paste but an agent from Essex seems to be saying that gazundering is becoming ever more popular. Other comments from the SE point to "unrealistic vendors" in "very much a buyers market" one even says they accept realistic offers rather than holding out and ending up taking even less in future.

Pretty much a bear feet from the ones I read :)

Hampshire?

David Smith BSc MRICS, Carter Jonas,

Andover, Hampshire, 01264 342342 -

There remain good buyers in the

market place but in the prevailing

conditions they want a deal. Many

examples of purchasers lowering their

bids before exchange of contracts.

Very much a buyers market and

vendors circumstances dictating the

direction of the destiny of any sale.

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Im not surprised with the RICS comments/results...the sales volumes are back to credit-crunch levels in many areas, so prices will follow.

There was definitely a little flurry of activity round out was end of sept, but it remains to be seen how many of the agreed sales on 2007 priced houses will complete. None I hope :lol:

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  • 284 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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