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Venger

The Ripple Effect - Champagne Tower Of Prosperity Overflows

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It's hitting Salford. :rolleyes:

Oh come on. Read with your eyes not your opinions.

The ripple effect has been a longstanding phenomenon all of my life. It is so well known I'm surprised I've even been trying to persuade someone of its existence.

Savills coined the filthy term the 'Champagne Tower of Prosperity" overflowing from the centre towards the periphery.

House price boom spreads North: Property hot spots popping up all over the country as average value tops £260,000

The average value of a home in Britain rose by 6.5 per cent in six years
Salford in Greater Manchester saw the biggest increase, up 12 per cent

23 July 2014

...Lawrence Hall, a spokesman at Zoopla, said: ‘Homeowners up and down the country are starting to see the benefits of the recovery as home values make further headway in 2014.

‘Over the past few years Salford especially has prospered from job creation in the area which has helped boost the local property market.

‘Property price growth has largely been a London and South East story until recently, so it is very encouraging to see the house price recovery broadening and the ripple effect starting to take hold further north.’

http://www.dailymail.co.uk/news/article-2702204/House-price-boom-spread-North-Property-hot-spots-popping-country-average-value-tops-260-000.html

And http://www.theguardian.com/uk-news/2014/jul/22/salford-mediacity-property-prices-boom

Was in one of the apartments, by Media City, visiting a friend the other day. (There's a young guy I've seen on last two visits who who travels about the roads on a pretty cool looking electric unicycle, as he travels around on the side roads and paths.) He bought his as a repo in 2009/10, at a few tens of thousands of pounds less than the investor before him paid. They want to upsize, but no chance for a house, vs QE/Global QE (China extending credit from $8Tn in 2008 to something like $20Tn now) 0.5% rescue and rejoice the desired bull housing market policy so many owners want.

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Yes I'm feeling richer knowing that my house is now earning more money per day than I do. If only I could be as hard working for the economy as my house!

But don't you get it,when you come to sell to buy another, think of all the new money you will be pumping into the economy to keep it going....only doing your little bit to help:-)

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But don't you get it,when you come to sell to buy another, think of all the new money you will be pumping into the economy to keep it going....only doing your little bit to help:-)

Yes I really should help out the bankers. They are now getting priced out of London, I really should pump this money into the economy to bail them out...

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Thanks. He's getting out of stocks and into housing. He is in Sheffield so the timing will probably be right as a torrent of devalued money created in London arrives there.

In a house I suspect he paid around £500,000 for in Sheffield, and you see more HPI flowing there? :lol:

Yesterdays' Times... part of an article I've typed in.

...London exodus

The London ripple effect - where money flows into commuter towns and the country - has taken longer that expected but agents agree that it is now happening. Nick Barnes, of Chestertons estate agency, says: "The southwest is soaring, and the eastern regions are seeing strong price growth."

Luke Brady, of Savills estate agency, says a levelling market in London has seen an increase in families moving out. Savills also reports that places such as Guildford and its nearby villages are proving a real magnet for Londoners, with anything on the market for less than £2 million selling quickly. Lucian Cook, the head of residential research at Savills UK, says: "The prime suburbs have outperformed the capital for the first time since the credit crunch., recording growth of 5.7 per cent in the first six months of 2014, compared with the prime London average of 4.9%.

Speedy sales

The fastest selling location is Cambridge, with an average of 27 days until a sale is agreed. Seven of the ten fastest selling areas are London boroughts and the figures, compiled by Rightmove, also put Warwick and St Albans in the top ten, at 33 days and 34 days respectively. In the slower selling markets, like parts of Wales and the north, properties could be on sale for an average of more than 100 days before a deal is made.

Prime property is slowing

Demand fell for the country's most expensive properties in the prime London market in the second quarter of this year. According to Savills, new buyer inquiries in this sector have fallen for the past two months. Other agents agree. Barnes says: "We have seen a distinct change in attitude by both vendors and buyers within the prime market. Many buyers became noticeably more nervous about pricing, both in terms of sustainability of recent growth rates and in terms of value for money."

The mortgage market

...... ..... ...... MMR. The number of mortgages given the go ahead in May fell to the lowest level since June 2013, according to Bank of England figures.

What's next?

The latest Knight Frank House Price Sentiment Index shows an easing of expectations for price growth across the country, especially in London/. Grainne Gilmore, at the Knight Frank estate agency, says that while stronger performance of regional economies has led to greater confidence among homemovers, theere are signs that momentum may be easing slightly. "Households in the 11 regions covered by the index perceive that prices rose in July, although in most cases at a slower pace than in June," she says.

"Hot days are never good for property viewings," says Kate Faulkner, of ................co.uk "So the reality is that things will, and are slowing. Partly as prices are up and some people in London can't now afford to buy."

Estate agencies' forecasts at the beginning of the year were buoyant; they will reveal their newest predictions next month. Miles Shipside, director of Rightmove, says: "This is the year to move, before the uncertainty of the election is upon us,"

-Holly Thomas.

Property Expert Kate Faulkner discusses the Help to Buy Scheme on BBC Breakfast (23/03/14)

Kate Faulkner:

[Re future price increases for equity gain on HTB purchased homes]

Well it'll come. On average depending where you live, the next 5 years which is how long the scheme is there for, you're looking at about a 15% increase, and you're looking at 25% 30% down in the South.

BBC studio presenter sees HTB as closing the price gap between South and North, and then the presenters and the HTBer himself explain they wants higher prices so he can keep on moving up the property ladder. Carry the victims around on your shoulders. They didn't know what they were doing. Let them live your life and take your opportunities. They just wanted a home, and for older VI, to protect their HPI.

Edited by Venger

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Yes I really should help out the bankers. They are now getting priced out of London, I really should pump this money into the economy to bail them out...

Don't worry important key workers like them will have housing which will be affordable for their meagre income.

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