Jump to content
House Price Crash Forum
AvidFan

Rics: Surveyors Warn House Prices Will Rise 6% Per Year Until 2019 As Lack Of Property Inflates Values

Recommended Posts

Surveyors Warn Rubbing Their Hands Together Hoping House Prices Will Rise 6% Per Year Until 2019 As the Lack Of Building Property Inflates The Price, Demand Increases Values. ;)

Share this post


Link to post
Share on other sites

I'd be surprised if they said anything else.

What were they saying in July 2007....

The sheeple think we are truly back to normal...just one thing....NO WE'RE NOT.

Edited by TheCountOfNowhere

Share this post


Link to post
Share on other sites

I love the chart! It shows the price expectations going up and down over the past 14 years but the DM just add a purple line pointing to the sky. Its worst than looking at the BOE inflation prediction chart.

Also, from he same chart, notice that most surveyors were predicting price falls of 20 to 30% just over a year ago. Were they right about that?

chart from DM.jpg

post-37194-0-15873200-1392313005_thumb.jpg

Share this post


Link to post
Share on other sites

I accept the argument that with house building running at a little over 100k homes a year, but with 250k new households being formed every year, there's increasing competition for property, especially in the south east.

However, I don't buy the forecast of 6% rises through to 2019 because interest rates are unlikely to fall further and wages are unlikely to rise at anything like 6%.

What we see today is a population that's maxed out on housing costs, so more likely is a sideways drift in house prices for many, many years. Although it's entirely possible that the size of the average property will continue to shrink, so delivering worse and worse value for money.

Share this post


Link to post
Share on other sites

Surveyors Warn Rubbing Their Hands Together Hoping House Prices Will Rise 6% Per Year Until 2019 As the Lack Of Building Property Inflates The Price, Demand Increases Values. ;)

I need reminding why prices plunged in during 2008 and into 2009.

I don't think it was anything to do with under-supply of property.

Share this post


Link to post
Share on other sites

There was no secret about the reasons prices went into meltdown in 2008/9. Inventories were piling up and nothing, I mean nothing, was selling. I once went on a trip in the summer of 2008 and counted1 house sold from one hundred for sale signs. The Market was a complete disaster.

Back then............

http://www.housepricecrash.co.uk/forum/index.php?showtopic=83000&st=0

Now.....

http://www.cambridge-news.co.uk/Royston/Lowest-stock-of-houses-available-in-Royston-for-17-years-says-estate-agent-20140112060000.htm

Either way the EA gets nothing to sell.

Edited by crashmonitor

Share this post


Link to post
Share on other sites

Monday will be interesting when Rightmove get in there with their early offering. You would have thought as sentiment is running high that we might get a leap in prices. However, it's amazing how often the indicies are contrarian. If we get something spectacular, it should focus minds at the MPC.

http://www.rightmove.co.uk/news/house-price-index

Edited by crashmonitor

Share this post


Link to post
Share on other sites

There was no secret about the reasons prices went into meltdown in 2008/9. Inventories were piling up and nothing, I mean nothing, was selling. I once went on a trip in the summer of 2008 and counted1 house sold from one hundred for sale signs. The Market was a complete disaster.

The market wasn't flooded with property. At the moment inventory has been scraping multi-year lows.

It was to do with the lack of mortgage availability. The price of mortgage credit where available. The lack of buyer demand for mortgage credit. And buyers uncertainty about their incomes going forwards.

It was the beginnings of a completely reasonable readjustment in house prices. Not a disaster at all. Bring on HPC 2.0

Your MPC is money price crash against house prices.

Share this post


Link to post
Share on other sites
Now.....

http://www.cambridge...40112060000.htm

Either way the EA gets nothing to sell.

Yes, pathetic levels of supply on market.

Yet sellers and buyers agreeing to transact at lower prices than similar properties in an area had sold for in recent months/years, brings down value of property for all other owners.

The 2008 'crash-lite' was on sellers and buyers agreeing to transact at lower prices, bringing down values of all surrounding homes in the UK.

It didn't take that many sellers/buyers to agree lower price transaction level to lower values in the entire market.

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now

  • Recently Browsing   0 members

    No registered users viewing this page.

  • The Prime Minister stated that there were three Brexit options available to the UK:   209 members have voted

    1. 1. Which of the Prime Minister's options would you choose?


      • Leave with the negotiated deal
      • Remain
      • Leave with no deal

    Please sign in or register to vote in this poll. View topic


×

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.