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algor

If It Is Stagnation.....

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I'm not very well versed in economics so humor me.

I am generally agnostic about the house price crash. Mainly because these are different times and to me it seems that economic history might not be a reliable indicator. I would like to see house prices go down for selfish (in a couple of years) and social reasons but there seems to be a fair amount of protection provided to markets from governments (America's Plunge Protection Team as an example) and I'm sure that our government could try and rig a way of keeping the housing market inflated.

A few of the more bullish people seem to believe that the worst case scenario is going to be stagnation or very gradual HPI. So then what..? How does this market sustain itself, how long can/will this trend continue and how does it move away from this trend - never, HPD or further (somehow!?!) HPI?

So far I've heard some of the arguments against the likelihood of stagnation as a prolonged situation but not many for.

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So far I've heard some of the arguments against the likelihood of stagnation as a prolonged situation but not many for.

It's just like the stock market, asset prices only ever go upwards or sideways, they never fall, just like the FTSE :P

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I'm not very well versed in economics so humor me.

I am generally agnostic about the house price crash. Mainly because these are different times and to me it seems that economic history might not be a reliable indicator.

Different alright, no inflation to erode massive mortgages, crap yields + HPI < at least 6% makes property a shite investment .

I would like to see house prices go down for selfish (in a couple of years) and social reasons

Don't worry, you will.

.... but there seems to be a fair amount of protection provided to markets from governments (America's Plunge Protection Team as an example) and I'm sure that our government could try and rig a way of keeping the housing market inflated.

We are talking about the Labour party here, right? Too stooooopid!

A few of the more bullish people seem to believe that the worst case scenario is going to be stagnation or very gradual HPI. So then what..? How does this market sustain itself, how long can/will this trend continue and how does it move away from this trend - never, HPD or further (somehow!?!) HPI?

Stagnation is a spin word for 'f**k me, I'm losing 10 grand a year in interest payments'.

The market does not sustain.

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  • 301 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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