Bbc News Blatant Ramping Of House Prices?

[@contradevian]

Nick Robinson, the BBC news political reporter has been threatening murder on twitter.

Nick Robinson apologises after Twitter threat to kill...........

He'll struggle not to smile when he hears of H2B and the like as a second home owner.

Nick Robinson bought his Suffolk home two years ago to escape the hustle and bustle of life in Westminster, and has been reported as saying he loves the village as it was “just very chilled, people are incredibly friendly and laid-back”.

He usually lives in Highbury, North London with his wife Pippa and their three children.

All you need to know about the BBC

[LiveinHope]

All you need to know about the BBC

Nick Robinson bought his Suffolk home two years ago to escape the hustle and bustle of life in Westminster, and has been reported as saying he loves the village as it was “just very chilled, people are incredibly friendly and laid-back”.

He usually lives in Highbury, North London with his wife Pippa and their three children.

I read the article and the sentences you highlighted jumped out at me [my italics and bold].

"two homes" Robinson, BBC Political commentator.... as if one isn't enough.

Edited August 10, 2013 by LiveinHope

[@contradevian]

I read the article and the sentences you highlighted jumped out at me [my italics and bold].

"two homes" Robinson, BBC Political commentator.... as if one isn't enough.

I've told him what I think to @bbcnickrobinson

[The Masked Tulip]

My guess is that it's an investor transferring them to a holding company or something similar, and taking the opportunity to take a payout and try to push the local prices up at the same time. Any other thoughts would be appreciated.

I have seen this with a big new build costing nearly 600K that was built towards the end of 2006ish near me. It never sold and the London company who built it went bankrupt.

For some legal or financial reasons it has now been transferred from one company to another but the EA firm that has been marketing it for 6 years has now stuck a 'for sold' sign upside and is telling anyone who is stupid enough to listen that this is a sign of house prices going up.

[Ash4781]

Exactly. In my area, it's gone totally batshit crazy in just the last 3-4 weeks. We've looked at a lot of houses in the past 2 weeks, and come across such examples as:

• A house come to the market at £235k when it sold for £182.5k in April '12, no improvements made in the meantime

• An agent telling me on Thurs that a house would achieve £215k and on Fri saying the same house would make £235k - £10k above 2007 peak

• Same agent telling me he sold 19 houses last month. A small independent saying at the same time that anyone selling more than 6 a month should be smiling.

• An entire street of asking prices upped by 25% based upon two very suspicious anomolies*

• Viewed two yesterday priced at 12% over recent sold prices for identical houses.

The speed at which this is happening is out of control. I'm starting to think that collapse or a crack up boom might be just around the corner.

Well this should show up in that Rightmove index. I have heard this sentiment too but it may just grind the market transactions down but i suppose that is what htb is for to put a floor in it. They will not be able to exit htb

Edited August 10, 2013 by Ash4781

[Bruce Banner]

Well this should show up in that Rightmove index. I have heard this sentiment too but it may just grind the market transactions down but i suppose that is what htb is for to put a floor in it. They will not be able to exit htb

No sign of any increases in asking prices in my neck of the south east, using Rightmove with Chrome Property Tracker.

[Venger]

Exactly. In my area, it's gone totally batshit crazy in just the last 3-4 weeks. We've looked at a lot of houses in the past 2 weeks, and come across such examples as:

• A house come to the market at £235k when it sold for £182.5k in April '12, no improvements made in the meantime
• An agent telling me on Thurs that a house would achieve £215k and on Fri saying the same house would make £235k - £10k above 2007 peak
• Same agent telling me he sold 19 houses last month. A small independent saying at the same time that anyone selling more than 6 a month should be smiling.
• An entire street of asking prices upped by 25% based upon two very suspicious anomolies*
• Viewed two yesterday priced at 12% over recent sold prices for identical houses.

The speed at which this is happening is out of control. I'm starting to think that collapse or a crack up boom might be just around the corner.

* ref the anomolies, two houses right next door to each other both sold within 6 weeks as 25-30% above average prices for that road. There's a huge amount of historical data so these two stand out like sore thumbs. My guess is that it's an investor transferring them to a holding company or something similar, and taking the opportunity to take a payout and try to push the local prices up at the same time. Any other thoughts would be appreciated.

It can fall back just as quickly. We've been in the crackup boom stage for quite a while. Remains to be seen whether forces in the economy proper, UK and globally, can support prices at those levels. Crack up, then fall right back so savers get real value.

The absolute opposite of the extreme of where we are now, where so many owners don't bat an eye at the 'reality' of the homes they bought in 1982 being worth 10 times more (300K-400K) for some ordinary little 3-4 bed semi in an average area.

And every now and then, there's a distressed sale, or evidence the owner can no longer hold out for 'what it's worth' with the market not rushing forward to take advantage of better value. The market is super fragile in my opinion. More downsizers/executor sales, with the failiy homes at £400K-£800K+ really going to begin weighing down on market.

I've got quite a few examples, but will use this one brought to my attention courtesy of Nomadd. Ok still asking a lot more than they bought it for in 2005 (£217,500), but some hardened expectations of hyper HPI gains being cut right back down for some owners. The hard way. The market doing it. And empty, still up for sale. even with the lower asking price.

http://www.rightmove...y-25689828.html

31 July 2013 Price changed: from '£280,000' to '£270,000'

21 June 2013 Price changed: from '£300,000' to '£280,000'

13 June 2013 Price changed: from '£339,950' to '£300,000'

23 January 2013 Initial entry found.

Owner registered on Zoopla and used the 'claim' feature to add additional info, at some point. (Who would do that lol! And parading 6 agents around to get the glow of the HPI valuations 'wealth'.)

Owner's Estimate: £335,000 | Owner comments: based on average price given by six local estate agents

http://www.zoopla.co...14-1jl/25416012

Has previously tried to rent it out: http://www.zoopla.co...14-1jl/28606424

[dances with sheeple]

I don't know why we bother pulling our hair out about this. It all smacks of King Canute.

I say 'fill your boots' BBC and Daily Plop. I want to see asking prices go up by 50% a week! The quicker this insane bubble within a bubble accelerates the faster the poison gets lanced ala Ireland. I find it hard to believe it will take until 2015 but if it does, so be it.

This is natural selection in motion: The carnage is going to be unsurpassed.

Meanwhile I'm renting a place in a nice part of outer London where my rent hasn't gone up for many years (in fact down, cue Bruce Banner) and I can cycle to work! Don't believe all the rent rise bo-lax

Where's me popcorn?

And with Mr. Carnage at the helm desperately trying to lance the White whale of borrower apathy. Lovely Bubbly

[dances with sheeple]

Exactly. In my area, it's gone totally batshit crazy in just the last 3-4 weeks. We've looked at a lot of houses in the past 2 weeks, and come across such examples as:

• A house come to the market at £235k when it sold for £182.5k in April '12, no improvements made in the meantime
• An agent telling me on Thurs that a house would achieve £215k and on Fri saying the same house would make £235k - £10k above 2007 peak
• Same agent telling me he sold 19 houses last month. A small independent saying at the same time that anyone selling more than 6 a month should be smiling.
• An entire street of asking prices upped by 25% based upon two very suspicious anomolies*
• Viewed two yesterday priced at 12% over recent sold prices for identical houses.

The speed at which this is happening is out of control. I'm starting to think that collapse or a crack up boom might be just around the corner.

* ref the anomolies, two houses right next door to each other both sold within 6 weeks as 25-30% above average prices for that road. There's a huge amount of historical data so these two stand out like sore thumbs. My guess is that it's an investor transferring them to a holding company or something similar, and taking the opportunity to take a payout and try to push the local prices up at the same time. Any other thoughts would be appreciated.

The only weapon left to EA`s/VI`s/media is to try and appeal to the "Tulip Mania" that gripped the nation up to 2007? Not enough sheeple out there believe any more though, because everyone has some insight now as to the downside?

[Fully Detached]

The only weapon left to EA`s/VI`s/media is to try and appeal to the "Tulip Mania" that gripped the nation up to 2007? Not enough sheeple out there believe any more though, because everyone has some insight now as to the downside?

I think that's it exactly - I would have mentioned tulips to the agent I spoke to yesterday if I thought he'd have the foggiest idea what I was talking about. There's a selection of stories from the tulip bubble in Devil Take the Hindmost which show the true extent of the lunacy. You read them now and wonder how a population could have become so insane. The list of things I posted above, and threads like this one from the main board this morning are getting pretty close to the same level of insanity IMO. And the more quickly this happens, the more people are likely to realise that something is very badly wrong.

Then again, I should be careful not to underestimate just how frigging stupid people can be.

[Ash4781]

I've got quite a few examples, but will use this one brought to my attention courtesy of Nomadd. Ok still asking a lot more than they bought it for in 2005 (£217,500), but some hardened expectations of hyper HPI gains being cut right back down for some owners. The hard way. The market doing it. And empty, still up for sale. even with the lower asking price.

I've seen properties for sale at one price (above 2007) for years, and then withdrawn and eventually let. I suspect there are some eye watering potential losses out there, and the banks know this. The BOE did mention the forbearance problem which was artificially inflating the asset values, and the reduced impairment charge went straight to the bottom line.

[dances with sheeple]

I think that's it exactly - I would have mentioned tulips to the agent I spoke to yesterday if I thought he'd have the foggiest idea what I was talking about. There's a selection of stories from the tulip bubble in Devil Take the Hindmost which show the true extent of the lunacy. You read them now and wonder how a population could have become so insane. The list of things I posted above, and threads like this one from the main board this morning are getting pretty close to the same level of insanity IMO. And the more quickly this happens, the more people are likely to realise that something is very badly wrong.

Then again, I should be careful not to underestimate just how frigging stupid people can be.

Yes, I think EA`s just must be dense f*uckers, especially the younger ones who left school during the biggest bubble of all time. They have no concept of how screwed it all is , but will soon be finding out I think

[dances with sheeple]

I've seen properties for sale at one price (above 2007) for years, and then withdrawn and eventually let. I suspect there are some eye watering potential losses out there, and the banks know this. The BOE did mention the forbearance problem which was artificially inflating the asset values, and the reduced impairment charge went straight to the bottom line.

The penny is probably starting to drop with vendors that the only way they will escape is if some daft idiot takes Help to Borrow money and spunks it on their house, they know everything can`t sell at it`s price, and this realisation is making them do stupid things like hike up the asking price maybe hoping to push up what they finally get, or pretend that their house/area is special Daft F*uckers

[Democorruptcy]

Exactly. In my area, it's gone totally batshit crazy in just the last 3-4 weeks. We've looked at a lot of houses in the past 2 weeks, and come across such examples as:

• A house come to the market at £235k when it sold for £182.5k in April '12, no improvements made in the meantime

• An agent telling me on Thurs that a house would achieve £215k and on Fri saying the same house would make £235k - £10k above 2007 peak

• Same agent telling me he sold 19 houses last month. A small independent saying at the same time that anyone selling more than 6 a month should be smiling.

• An entire street of asking prices upped by 25% based upon two very suspicious anomolies*

• Viewed two yesterday priced at 12% over recent sold prices for identical houses.

The speed at which this is happening is out of control. I'm starting to think that collapse or a crack up boom might be just around the corner.

* ref the anomolies, two houses right next door to each other both sold within 6 weeks as 25-30% above average prices for that road. There's a huge amount of historical data so these two stand out like sore thumbs. My guess is that it's an investor transferring them to a holding company or something similar, and taking the opportunity to take a payout and try to push the local prices up at the same time. Any other thoughts would be appreciated.

The words "Mortgage Guarantee" are always being bandied about with reference to Help to Buy Bail Banks.

I'm sure that some people think that their house purchase is guaranteed somehow. Rather than the truth....it's only the bank that gets the money back from the government if the house is repossessed and sold at a loss. Plus the government pays the bank "reasonable repossession costs" for making the "aspirational" buyer homeless.

Miss-selling scandal to follow....?

[Fully Detached]

The words "Mortgage Guarantee" are always being bandied about with reference to Help to Buy Bail Banks.

I'm sure that some people think that their house purchase is guaranteed somehow. Rather than the truth....it's only the bank that gets the money back from the government if the house is repossessed and sold at a loss. Plus the government pays the bank "reasonable repossession costs" for making the "aspirational" buyer homeless.

Miss-selling scandal to follow....?

Good point - could well be.

Tangentially, although Help to Bail / Help to Borrow is discussed a lot here, I'm not convinced that the average bloke on the street knows that much about it yet. Certainly no estate agent in his right mind (there must be some) is going to mention it to potential buyers, because all it will do is make them wait until next year, leaving the EA hungry in the meantime.

I think even EAs as unsure as to how it is going to pan out. I've said to a couple recently that I'm interested to see how banks react in the last few months of this year, since "no bank is going to lend now when it can offload 20% of the risk to the taxpayer from January 2014". I've no idea if this is a sensible comment or not, but both EAs that I said it too looked a little nervous at the comment, and replied to the effect that they had no idea what the outcome of it would be either.

When even the brainless rampers are worried about the unintended consequences, you have to wonder if it'll even make it out of the starting gate. A man who flip flops on a pasty tax hardly has pedigree for going the distance...

[dances with sheeple]

Good point - could well be.

Tangentially, although Help to Bail / Help to Borrow is discussed a lot here, I'm not convinced that the average bloke on the street knows that much about it yet. Certainly no estate agent in his right mind (there must be some) is going to mention it to potential buyers, because all it will do is make them wait until next year, leaving the EA hungry in the meantime.

I think even EAs as unsure as to how it is going to pan out. I've said to a couple recently that I'm interested to see how banks react in the last few months of this year, since "no bank is going to lend now when it can offload 20% of the risk to the taxpayer from January 2014". I've no idea if this is a sensible comment or not, but both EAs that I said it too looked a little nervous at the comment, and replied to the effect that they had no idea what the outcome of it would be either.

When even the brainless rampers are worried about the unintended consequences, you have to wonder if it'll even make it out of the starting gate. A man who flip flops on a pasty tax hardly has pedigree for going the distance...

Exactly, the desired outcome is for those with no or low mortgage to drop their price and take the hit so the banks can lend, HTB etc is IMO just bait to tease them out of their fantasy price cave.

[cybernoid]

"no bank is going to lend now when it can offload 20% of the risk to the taxpayer from January 2014". I've no idea if this is a sensible comment or not, but both EAs that I said it too looked a little nervous at the comment, and replied to the effect that they had no idea what the outcome of it would be either.

When even the brainless rampers are worried about the unintended consequences, you have to wonder if it'll even make it out of the starting gate. A man who flip flops on a pasty tax hardly has pedigree for going the distance...

Interesting discussion chaps, with so much intervention from so many angles the likelihood of unintended consequences looks high. Frankly these days I'm just stood open mouthed at the whole thing, they're scurrying around letting all kinds of genies out of bottles in desperation and no-one, least of all them, knows what the combined effect will be.

It takes an amusing species to fk up the simple task of distributing shelter to such a degree, you have to laugh.

[winkie]

Exactly, the desired outcome is for those with no or low mortgage to drop their price and take the hit so the banks can lend, HTB etc is IMO just bait to tease them out of their fantasy price cave.

Why would they take a hit?.....they just drop the price of the property they want to buy.....less debt, cost and charges all round....win win.

[mikthe20]

Has it occurred to anyone at the BBC that by ramping house prices they are supporting a Conservative victory at the next election?

[Duffman]

Has it occurred to anyone at the BBC that by ramping house prices they are supporting a Conservative victory at the next election?

Thanks for this post, it's the first time I've managed to crack a smile all morning!! Sweet irony, if nothing else.

[mikthe20]

Thanks for this post, it's the first time I've managed to crack a smile all morning!! Sweet irony, if nothing else.

You're very welcome. I actually would like someone to raise that with the buffoons at the beeb as I bet they haven't even thought of it. It's almost a "divide by zero" problem for them.

I'm sure even the Labour Party haven't thought of it - perhaps some words from someone in Labour to their beeb pals might be appropriate. What's the equivalent of Conservative Home for Labour? - a post on there might raise a few more chuckles. I suppose The Guardian's Comment is Free site might be a good place to start the "Beeb publicising increasing house prices will gift the election to the Tories" meme.

[winkie]

I don't know why we bother pulling our hair out about this. It all smacks of King Canute.

I say 'fill your boots' BBC and Daily Plop. I want to see asking prices go up by 50% a week! The quicker this insane bubble within a bubble accelerates the faster the poison gets lanced ala Ireland. I find it hard to believe it will take until 2015 but if it does, so be it.

This is natural selection in motion: The carnage is going to be unsurpassed.

Meanwhile I'm renting a place in a nice part of outer London where my rent hasn't gone up for many years (in fact down, cue Bruce Banner) and I can cycle to work! Don't believe all the rent rise bo-lax

Where's me popcorn?

[goldbug9999]

Has it occurred to anyone at the BBC that by ramping house prices they are supporting a Conservative victory at the next election?

There will definitely be a conservative victory at the next election - but it remains to be seen which actual conservative party will win.

[zugzwang]

There will definitely be a conservative victory at the next election - but it remains to be seen which actual conservative party will win.

A Grand Coalition of all three? At least then we'd know where we stand.

[Maynardgravy]

A Grand Coalition of all three? At least then we'd know where we stand.

ConConCon. Sounds about right.