Jump to content
House Price Crash Forum

House Price Growth Stalls To Lowest Level For 19 Months


Recommended Posts

0
HOLA441

Don't know if this has been posted yet so here it is, surely this can't be true:

The pace of house price growth fell to its weakest level in more than a year and-a-half in December with values in London falling for the first time since 2009, according to the latest national property report.

Property experts reported huge variations across the country, with Northern Ireland, Scotland and the North West of England seeing the strongest growth in property values, while London was the only region where prices were seen falling more than rising.

http://www.thisismoney.co.uk/money/news/article-2910171/House-price-growth-stalls-lowest-level-19-months-surveyors-report.html

Ahh Panic over:


But the Royal Institution of Chartered Surveyors said that with so little choice of homes on the market for house hunters in the capital, it seems 'implausible' that property prices are set to show much of a dip.

:rolleyes:

Edited by JustAnotherProle
Link to comment
Share on other sites

1
HOLA442
2
HOLA443

Something on the Today programme this morning referring to the lowest volume of property on the Market ever. Stocks do look thin, but then so do sales. God knows how EAs are surviving. (stocks have fallen for ten consecutive months)

Perhaps a telling indicator that the economy is slowing and we are all bored with economic activity.

Edited by crashmonitor
Link to comment
Share on other sites

3
HOLA444
4
HOLA445
5
HOLA446
6
HOLA447
7
HOLA448

There have been signs several times in the past but complete and utter lunacy and irresponsibility have stopped anything happening (no doubt at the expense of a complete and utter disaster, but that'll happen in someone else's parliament...)

I'm honestly starting to waver. I'm late 30s now, landlord sounds like he's going to try to sell, and I've seen a place I actually like the look of if I can get the price down a bit. Still far too much though and as much as I dislike people I'd hate to be even a tiny bit responsible for continuing the madness.

Link to comment
Share on other sites

8
HOLA449
But the Royal Institution of Chartered Surveyors said that with so little choice of homes on the market for house hunters in the capital, it seems 'implausible' that property prices are set to show much of a dip.

I do not follow the 'authority' of Rics or any EAs. Got a mind of my own, not someone who has a VI in me asap, wherever the market is.

As you probably know by now, real estate agents are the absolutely last people on the planet to realize when housing is about to blow up. A realtor’s idea of diversifying is to purchase another condo. They believe it’s a great time to buy when prices are rising. And when they’re falling. Or stable. They think liquidity means plumbing. It’s hopeless.

Right until the very moment when America found itself circling the drain of a massive housing crisis, the National Association of Realtors was saying everything was okay. It was a great time to buy. And then, poof. Within two years, real estate nationally had lost 32% of its value and the middle class was done like dinner. Realtors who had told people to ‘buy now or buy never’ were learning how to cook fries.

TUE 05 APR 1988 - The Times

House price rises slow in London

Rising house prices in areas surrounding London appear to have helped to take the pressure off prices in the capital, which last year rose by 28.9 per cent. In the past three months the rise in Greater London was only 3.5 per cent, less than the nati...

FRI 06 MAY 1988 - The Times

North-South gap on house prices 'is set to narrow'

The North-South gap on house prices has reached its peak and will begin to narrow as towns in the North catch up with their expensive counterparts in the South, a report published yesterday by Black Horse Relocation said. One of the main reasons is t.

MON 13 JUN 1988 - The Times

Poll tax may lift house prices 20%

The Government's planned community charge will push up house prices sharply, according to a report published today. The report, written by Mr Peter Spencer, a former Treasury economist now with the securities house Credit Suisse First Boston, says th...

SAT 02 JUL 1988 - The Times

House-rich;House prices;Family Money

Soon no area of the country will be immune from "rampaging" house-price increases, says the Royal Institution of Chartered Surveyors. The institution says that more than half of the 188 estate agents who contributed to its survey of prices for the...

SUN 21 AUG 1988 - The Sunday Times

Let the nation retire to Dungloation;House Prices

"I DON'T give a damn how much your house is worth" is one of the more graphic T-shirts now doing the rounds. I sympathise. The house-price spiral must be outright winner as most tedious conversation topic of 1988. Throughout the land, people ar...

SAT 17 SEP 1988 - The Times

Country house prices `to rise further'

Country house prices in Britain have risen by 33 per cent so far this year and are likely to increase further this autumn, according to Savills, the estate agents. A report on country properties at the middle and top end of the market shows that fore...

.

.

TUE 22 AUG 1989 - The Times

Sellers accept cut in asking prices

House sellers have accepted that they must reduce prices to find buyers, the Royal Institution of Chartered Surveyors says in its latest house price survey, published today. Mr Peter Miller, for the institution, said the survey showed more stability ...

http://www.housepricecrash.co.uk/wiki/Read_what_the_Newspapers_were_saying_last_time_around

Then into the HPC....... maybe fewer buyers will do it this time, and just a tilting of more sellers, prepared/needing/wanting to accept lower prices, to cash out.

Markets move at the margin. Wasn't that many monthly sales into mid-2007 or throughout 2008, but those sales still brought national indices sharply down.... even though it was all reflated so fast (forbearance... there's nothing for bears in forbearance /0.5%/FLS/Massive UK and Global QE) that the majority of homeowners never felt it, could believe their own homes weren't affected... now worth even more in reflated market.

Link to comment
Share on other sites

9
HOLA4410

There have been signs several times in the past but complete and utter lunacy and irresponsibility have stopped anything happening (no doubt at the expense of a complete and utter disaster, but that'll happen in someone else's parliament...)

I'm honestly starting to waver. I'm late 30s now, landlord sounds like he's going to try to sell, and I've seen a place I actually like the look of if I can get the price down a bit. Still far too much though and as much as I dislike people I'd hate to be even a tiny bit responsible for continuing the madness.

Careful, you'll be placed in stocks and flogged with talk like that!

Link to comment
Share on other sites

10
HOLA4411

Don't know if this has been posted yet

This was featured on several separate threads yesterday. There wasn't a main thread though, I'm guessing because the MSM spin on it was so different.

The BBC did a top job in turning this RICS release into an absolute ramp fest - with supply so low, any uptick in buyer demand would see prices reach for the moon etc etc ad infinitum...

Link to comment
Share on other sites

11
HOLA4412

Careful, you'll be placed in stocks and flogged with talk like that!

When it comes to houses the choice seems to be to run with the herd of the rest of the population, as it gallops towards the cliff edge, or try to hold your ground or turn aside, and get trampled by them.
Link to comment
Share on other sites

12
HOLA4413

When it comes to houses the choice seems to be to run with the herd of the rest of the population, as it gallops towards the cliff edge, or try to hold your ground or turn aside, and get trampled by them.

Slight confession - I bought end 2010 - best thing I ever did. I'll run for cover now....

Link to comment
Share on other sites

13
HOLA4414

I called 2015 a couple of years ago and so far it's shaping up to be a cracking year.

yeah a few people had said 2015 was our year, most seem to have gone now!

does seem to be shaping up as some expected, certainly right on time for a stock market crash, gold shooting up.

Link to comment
Share on other sites

14
HOLA4415

Slight confession - I bought end 2010 - best thing I ever did. I'll run for cover now....

Why?.....buying can be the best thing you have ever done even if the resale value has fallen......buying a comfortable home in the right place even though the value goes down, no problem....all good, even better when cost of credit goes down, mean can own it in full sooner...then can live in it for free.

Cost of servicing is far more important than maintaining capital growth........ask anyone living in London late 80s when values plummeted but monthly mortgage repayments sky-rocketed....in that situation having a job that can cover the extra cost is far more important than what a home is worth. ;)

Link to comment
Share on other sites

15
HOLA4416

God knows how EAs are surviving. (stocks have fallen for ten consecutive months)

In my local paper (Milton Keynes) delivered this afternoon there is a story about a woman, described as an Estate Agent, and her two teenage sons forced to live in her car - apparantly the council wouldn't help and she didn't have money for deposit. The hotel kicked them out when she ran out of money. Apparantly she still has the job but it's commission only. I guess her likely deteriorating appearance won't help.

Slightly OT but in a similar vein - there is a couple camping on a grass verge next to B&Q since 8 months and opposite the end of my street there are East Europeans living on the verge in a caravan. They have a wood burning stove and even chickens - a bit risky given that the road is 60MPH +

Edited by Bill D'arblay
Link to comment
Share on other sites

16
HOLA4417

Slight confession - I bought end 2010 - best thing I ever did. I'll run for cover now....

Well the one I was thinking of, the only one I've even felt like looking at, seems to have sold when I checked the details to give them a ring to view it, having been on the market since last summer.
Link to comment
Share on other sites

17
HOLA4418

There have been signs several times in the past but complete and utter lunacy and irresponsibility have stopped anything happening (no doubt at the expense of a complete and utter disaster, but that'll happen in someone else's parliament...)

I'm honestly starting to waver. I'm late 30s now, landlord sounds like he's going to try to sell, and I've seen a place I actually like the look of if I can get the price down a bit. Still far too much though and as much as I dislike people I'd hate to be even a tiny bit responsible for continuing the madness.

We bought in mid 2008, with alot of trepidation. It's worked out OK so far - we managed to get 10% off the price (but I don't think we got a "bargain") and deliberately bought well within our budget with a relatively small mortgage (1.5x income) which we've hammered down with some serious saving.

I suspect the house is still worth what we paid for it, which would be a considerable nominal loss over 6 years; plus the fact we've spent some money doing it up. But it doesn't keep me awake at night. We love the house and are very happy here (we'd previously rented and suffered a threat of eviction due to the landlord "having a friend who needs the house") and if we sell it will need another one - so movements in nominal value aren't really relevant.

If you can afford it and won't be over-leveraged, and it's the right house for you, you might just have to take the risk that it would have been cheaper next year. Life isn't all about money (although it helps).

Link to comment
Share on other sites

18
HOLA4419

Yeah, well, like I said the only one I've seen that I definitely liked, would've needed 3.5x salary mortgage, and has sold before I've had a chance. Maybe coincidence of timing but doesn't stop me thinking it's still crazy. Will be interesting to see what it sold for though (and may yet fall through I suppose).

Link to comment
Share on other sites

19
HOLA4420

In my area which is the whole of D & G the property transactions have been down by roughly a third since 2008. Don't want to say too much online but I know this from someone I know well who has a business providing a service relative to property sales.

There's a wide variety of property in this area and many have been for sale for years with no reductions. Only a few places sell quickly and since 2008 there have been a lot of reductions on properties which obviously helps with a sale.

I know I'm lucky because I've benefited from HPI and three years ago because I had to downsize/clear mortgage I sold a place in my town after 18 months with a reduction of £20k. There's several in the same area that have been unsold for 1/2/3 years now because they believe what they're told about value and won't/can't/unwilling to reduce .

Not a lot of new stock in my town for a few months now. Very little new to market

Link to comment
Share on other sites

20
HOLA4421

In my area which is the whole of D & G the property transactions have been down by roughly a third since 2008. Don't want to say too much online but I know this from someone I know well who has a business providing a service relative to property sales.

There's a wide variety of property in this area and many have been for sale for years with no reductions. Only a few places sell quickly and since 2008 there have been a lot of reductions on properties which obviously helps with a sale.

I know I'm lucky because I've benefited from HPI and three years ago because I had to downsize/clear mortgage I sold a place in my town after 18 months with a reduction of £20k. There's several in the same area that have been unsold for 1/2/3 years now because they believe what they're told about value and won't/can't/unwilling to reduce .

Not a lot of new stock in my town for a few months now. Very little new to market

When Aberdeen pops, due to oil slump, the whole of Scotland will dip (again) on the bad sentiment IMO.

Link to comment
Share on other sites

21
HOLA4422

When Aberdeen pops, due to oil slump, the whole of Scotland will dip (again) on the bad sentiment IMO.

I hope so.

I have 2 young adult offspring and for them and all others who just want a home of their own my wish is for a crash and houses available to buy at a sensible price relative to income.

Link to comment
Share on other sites

22
HOLA4423

"North West of England seeing the strongest growth", drat.

Interestingly, between the 1989-1995 crash, house prices in Northern Ireland actually rose during that period.

While I think house prices are too high everywhere, buying in those Northern areas where prices are still at 2003-4 levels may not be as fatal as buying in the South/South East/London/East Anglia where prices seem to be above 2007...

Link to comment
Share on other sites

23
HOLA4424

I hope so.

I have 2 young adult offspring and for them and all others who just want a home of their own my wish is for a crash and houses available to buy at a sensible price relative to income.

Yes, that is a goal that should be easily achievable for anyone in a civilised society. Unfortunately this society has been hijacked by bankers, only real pain (for bankers) can set things straight. The Swiss situation will hopefully blow up a few hedge funds and trading desks, and hopefully a bank or two will have problems, and this will be replicated as more volatility hits the system. Only when it properly crashes can we have the situation you desire, and people need to be less greedy next time around.

Link to comment
Share on other sites

24
HOLA4425

Yes, that is a goal that should be easily achievable for anyone in a civilised society. Unfortunately this society has been hijacked by bankers, only real pain (for bankers) can set things straight. The Swiss situation will hopefully blow up a few hedge funds and trading desks, and hopefully a bank or two will have problems, and this will be replicated as more volatility hits the system. Only when it properly crashes can we have the situation you desire, and people need to be less greedy next time around.

I hope the swiss situation, oil situation and declining retail profits etc are going to cause a crash.

As for greed. Sadly, really don't think that will go away in the majority of humans.

What you mentioned about Aberdeen previously. I know of a youngish oil worker who thinking life was rosy "bought" a 400k largish but fairly ordinary house IMO recently and now worried about their contract. To be honest I don't have much sympathy for people who think 400k for a house to live in is a good buy! But to be fair they are young and don't remember when you could get a house for 2/3 times your yearly pay. Lack of education and ability to think about the world you live in is probably a lot to blame

30 years ago I was lucky to be able to get a mortgage for twice my fairly modest salary for a small place in a nice coastal village. When I sold it in 2005, for a ridiculous price, because I had to I knew then that something really wasn't right with the economy.

The world is a crazy place!

Edited by Economic Exile
Link to comment
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
  • Recently Browsing   0 members

    • No registered users viewing this page.




×
×
  • Create New...

Important Information