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http://www.estateagenttoday.co.uk/news_features/Central-London-house-prices-going-up-at-rate-of-per-hour

The latest Land Registry All Transaction Data (ATD) also show that house prices in prime central London rose by 25% between March last year and March this year – equivalent to £27 per hour 24/7, or the equivalent of £122 per hour for a working week.

I see this as positive news. It will not take very long with this speed to pop the bubble.

I am most afraid of the Japanese style slow house price decline with a few % per year ...

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anecdotal - a friend recently told me house prices especially around London and the S.E. are staying high due to the recent change of leadership in China.

Apparently the new leader has big plans to stamp out corruption, and hence why you're seeing buckloads of China people putting their 'hard earned' cash into property over here.

Discussion is welcome.

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http://www.estateage...ate-of-per-hour

The latest Land Registry All Transaction Data (ATD) also show that house prices in prime central London rose by 25% between March last year and March this year – equivalent to £27 per hour 24/7, or the equivalent of £122 per hour for a working week.

I see this as positive news. It will not take very long with this speed to pop the bubble.

I am most afraid of the Japanese style slow house price decline with a few % per year ...

+1

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http://www.estateagenttoday.co.uk/news_features/Central-London-house-prices-going-up-at-rate-of-per-hour

The latest Land Registry All Transaction Data (ATD) also show that house prices in prime central London rose by 25% between March last year and March this year – equivalent to £27 per hour 24/7, or the equivalent of £122 per hour for a working week.

I see this as positive news. It will not take very long with this speed to pop the bubble.

I am most afraid of the Japanese style slow house price decline with a few % per year ...

That is a truly shocking figure. Based on my experience of looking in central London I would have said property in W2/WC1 and NW1 (Euston) had jumped between 10% - 15% (asking) in a year. If overall it's 25% then I hope this does hasten a correction as it's madness.

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http://www.estateagenttoday.co.uk/news_features/Central-London-house-prices-going-up-at-rate-of-per-hour

The latest Land Registry All Transaction Data (ATD) also show that house prices in prime central London rose by 25% between March last year and March this year – equivalent to £27 per hour 24/7, or the equivalent of £122 per hour for a working week.

I see this as positive news. It will not take very long with this speed to pop the bubble.

It's a big world with a lot of rich people, who are getting richer. London property is firmly on their radars. I see no sign of this trend slowing down or reversing - quite the opposite. There are measures the government could take to favour the interests of working natives, as they do in other countries, but they show absolutely no interest in doing so.

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I apoligise if this doesn't make any sense .. but I'm bored.

North-south divide: terraced house sells for £7,000

Two terraced houses, one in a sleepy northern market town, the other in the heart of London. They are separated by 317 miles, and the mere matter of £18.243m.

http://www.telegraph.co.uk/finance/personalfinance/houseprices/10092509/North-south-divide-terraced-house-sells-for-7000.html

The massive price gap in the latest figures from the Land Registry show that the north-south divide in the property market is as stark as ever, with prices in the capital soaring.

Data for April showed that a terraced home in Egremont, Cumbria, sold for just £7,000, while a house in Bolney Gate, Knightsbridge, went for £18.25m.

The multi-million pound deal played its part in a 13pc rise in average prices in central London to £1,379,142. In addition, the number of transactions of more than £2m in this area has risen 60pc compared with April 2012.

“The low cost of sterling, cheap debt and the capital’s enduring appeal has fuelled a further influx of international investors,” said Naomi Heaton, chief executive of London Central Portfolio.

The Post-2009 Global Housing Bubble or Housing Bubble 2.0

http://www.stock-market-crash.net/housing-bubble/

After the cataclysmic mid-2000s housing bubbles in the U.S. and European PIIGS nations, one would think that the world would never allow another housing bubble to rear its ugly head again. Unfortunately, this thinking is completely wrong. Since 2008, the world has openly embraced new housing bubbles with astounding vigor, in complete defiance of all lessons taught by the Global Financial Crisis. A series of new housing bubbles have inflated in practically every country outside of deflation-prone Japan, the U.S. and PIIGS nations – I’ve named this bubble “The Post-2009 Global Housing Bubble” or “Housing Bubble 2.0.” These new housing bubbles are located in China, Canada, Australia, emerging market countries and northern & western Europe.

Here are the world’s latest housing bubbles:

The leverage story banks want to hide

http://www.ft.com/cms/s/0/3c660d16-a02e-11e2-88b6-00144feabdc0.html#axzz2UxFJqfLL

Bankers argue that the leverage ratio is a crude tool that penalises basic low-risk products such as prime home mortgages and that jacking it up too high will stunt economic growth by making it hard to ramp up lending.

Some regulators disagree. Andy Haldane of the Bank of England has put together a persuasive set of tables showing that leverage has been a better predictor of bank survival than capital. Another way to think about it is that a bank with a leverage ratio of 3 per cent that sees its assets unexpectedly drop by 3 per cent will be completely bust.

Shadow banking system

http://en.wikipedia.org/wiki/Shadow_banking_system

The volume of transactions in the shadow banking system grew dramatically after the year 2000. Its growth was checked by the 2008 crisis and for a short while it declined in size, both in the US and in the rest of the world.[5][6] In 2007 the Financial Stability Board estimated the size of the SBS in the U.S. to be around $25 trillion, but by 2011 estimates indicated a decrease to $24 trillion.[7] Globally, a study of the 11 largest national shadow banking systems found that they totaled to $50 trillion in 2007, fell to $47 trillion in 2008 but by late 2011 had climbed to $51 trillion, just over its estimated size before the crisis. Overall, the world wide SBS totalled to about $60 trillion as of late 2011.[5] In November 2012 Bloomberg reported on a Financial Stability Board report showing an increase of the SBS to about $67 trillion.[8] It is unclear to what extent various measures of the shadow banking system include activities of regulated banks, such as bank borrowing in the repo market and the issuance of bank-sponsored asset-backed commercial paper.
Shadow banks can also cause a buildup of systemic risk indirectly because they are interrelated with the traditional banking system via credit intermediation chains, meaning that problems in this unregulated system can easily spread to the traditional banking system.

Recovered Economic History: “Everyone but an idiot knows that the lower classes must be kept poor, or they will never be industrious”

http://exiledonline.com/recovered-economic-history-everyone-but-an-idiot-knows-that-the-lower-classes-must-be-kept-poor-or-they-will-never-be-industrious/

Poverty is that state and condition in society where the individual has no surplus labour in store, or, in other words, no property or means of subsistence but what is derived from the constant exercise of industry in the various occupations of life. Poverty is therefore a most necessary and indispensable ingredient in society, without which nations and communities could not exist in a state of civilization. It is the lot of man. It is the source of wealth, since without poverty, there could be no labour; there could be no riches, no refinement, no comfort, and no benefit to those who may be possessed of wealth.

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Hello, newbie here. I thought this might be of some interest on a London thread and particularly those in the North London area.

I sent a Freedom of Information Request to my council (Haringey) a few years ago to ask them how many households in my area (Muswell Hill) are receiving housing benefit (LHA) for private rentals. The answer I got back was very interesting. I asked them to break it down by postcode, so how many households in the N10 area are receiving housing benefit for private rentals. The answer I received back was: 429.

According to this map http://www.haringey.gov.uk/frbak/2011_muswell_hill_ward_profile-2.pdf the Muswell Hill ward has 4321 individual households. Now, be aware that the Muswell Hill ward doesn't cover the N10 postcode exactly, (the ward actually covers some of N10 and some of N8) but if we assume that the N10 postcode area has a maximum household figure of 4500 (based on the household figures of Muswell Hill ward and surrounding wards) and according to that document 22.9% of households in the ward were renting privately, that would amount to approx 1030 households in the N10 area privately renting.

If 429 of the 1030 privately renting are receiving Local Housing Allowance, that means that 41% of private renters in this middle class area of North London are receiving some housing benefit for private rent. I think this is a staggering amount, even with the possibility of error of +10 or - 10%.

It will be interesting to see what effect, if any, the overall benefit cap has on rentals in this area.

So I got back my FOI request and here is what they have provided me with for the borough of Islington:

1) The total number of households in the Islington Borough receiving housing benefit for private rentals. (i.e. benefit paid to people living in properties not owned by Islington Council). 3,607 private rented households. 14,173 with Housing Associations included.

2) The total amount of housing benefit (£) being paid to these private rentals (in 1) or the average amount paid per property per week. Average per property £184.31

3) The total number of households in both N19 and N7 postcodes receiving housing benefit for private rentals. (i.e. benefit paid to people living in properties not owned by Islington Council). (This is my area, so more for my interest!) 355

4) The total amount of housing benefit (£) being paid to these private rentals in N19 and N7 or the average amount paid per property per week. Average housing benefit paid £188.46

So all in all, it looks like a shed load of money going to BTL'ers :( Glad to know my £115 a month Cuntcil tax is being put to good use :ph34r:

Edited to add: Looking at these figures, am I right in suspecting that they have included the housing associations in order to "drive down" the average per week in (2) as £184.13 seems very low?

Edited by SEW247

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So I got back my FOI request and here is what they have provided me with for the borough of Islington:

1) The total number of households in the Islington Borough receiving housing benefit for private rentals. (i.e. benefit paid to people living in properties not owned by Islington Council). 3,607 private rented households. 14,173 with Housing Associations included.

2) The total amount of housing benefit (£) being paid to these private rentals (in 1) or the average amount paid per property per week. Average per property £184.31

3) The total number of households in both N19 and N7 postcodes receiving housing benefit for private rentals. (i.e. benefit paid to people living in properties not owned by Islington Council). (This is my area, so more for my interest!) 355

4) The total amount of housing benefit (£) being paid to these private rentals in N19 and N7 or the average amount paid per property per week. Average housing benefit paid £188.46

So all in all, it looks like a shed load of money going to BTL'ers :( Glad to know my £115 a month Cuntcil tax is being put to good use :ph34r:

Stop whinging and get down the Northern Rock and get 10 125% mortgages. It's different in London dont-cha-know. You'll be rich in no time. :P

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Stop whinging and get down the Northern Rock and get 10 125% mortgages. It's different in London dont-cha-know. You'll be rich in no time. :P

LOL!

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I have a friend who lives in a hostel in Brick Lane found through Crisis (violent boyfriend). It costs £180 a week paid by HB for a smallish room with an en suite shower. Shared kitchen which she can't use because of the mess and the other residents. She's a tiny little thing but packs away food as if there's no tomorrow whenever I see her. Obviously this represents excellent value for money :ph34r:

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Interest rates will go up at a rate dictated by the cumulative indebtedness of governments, which itself will swell as various demographic baby booms retire

In other words if the baby boomers choose to take quick early retirements funded by govt debt, then the debt markets will price in higher default risks and push interest rates up

This may be swift or it may be gradual

And house bubbles (as well as other asset bubbles including the stock market) will deflate at a related and similar rate.

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  • 259 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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