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Guest BillyNI

Asking Prices Up

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Guest BillyNI

https://www.theguardian.com/money/2016/jun/20/asking-prices-for-homes-in-england-and-wales-rise-to-record-high

"Asking prices for homes in England and Wales have risen to a new record high, and sales are being agreed quicker than at any point since 2010, according to latest figures from the property website Rightmove"

​This tells us exactly nothing. No that's unfair, it tells us asking prices are up, but can someone tell me what this means in the grand scheme of things?

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Guest BillyNI

Well it's not the case in Greater London, which I am assuming is truly the bellwether for the rest of the country.

I also note that they make up some statistics on what a brexit will cost to house prices, like the have the remotest clue.

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Big difference between ask and what they get either way lets home the remains don't win because I am sure that will be the next excuse for another 10% rise.

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What a fantastic bubble. Watch and enjoy. We had the tech bubble in the 90s. I enjoyed that one. ?

This housing bubble has already surpassed. The Tulip bubble will be taken out by this one as well.

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It's useful to have imo, not a great house price index but a decent leading indicator again and very up to date compared to all the other indexes

If these numbers are accurate pcl is getting smashed

BJahtatl.png

Same story in every index.

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Thought I'd test the market. Offered 15% off asking price last week (Greater London). Rejected. Agent said it wasn't even worth it to forward to vendor. Earlier he had informed me that prices in area were 15% up from last year.

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Thought I'd test the market. Offered 15% off asking price last week (Greater London). Rejected. Agent said it wasn't even worth it to forward to vendor. Earlier he had informed me that prices in area were 15% up from last year.

Was the agent aware he was breaking the law in this case?

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Buyers now consider the asking price to be an irrelevance, it's all about whether they can afford the monthly repayments (based on joint income, 35 year mortgages with current record low ir's)

I'm sure most buyers in my area now barely even bother haggling or looking at other comparable, recent sold prices... yet only 18 months ago houses round here were generally sitting on the market for at least a year and selling for a good 10% below initial asking price.

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In my experience it's more about how much the seller "needs" to move up the "ladder". So if they want to buy a house for £400k, then they need £350k for their current house, etc.

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Housing DEBT is the great religion of our time.

For some people, and no one dragged them to viewings, or to apply for big debt mortgages. Who are currently enjoying all the advantages that come with homeownership, confirming and setting values at high prices, and no one stopping more owners to come to market to try and cash in on fortunes.

Meanwhile...

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Buyers now consider the asking price to be an irrelevance, it's all about whether they can afford the monthly repayments (based on joint income, 35 year mortgages with current record low ir's)

I'm sure most buyers in my area now barely even bother haggling or looking at other comparable, recent sold prices... yet only 18 months ago houses round here were generally sitting on the market for at least a year and selling for a good 10% below initial asking price.

This ^^^

BOMAD supply deposit FTB doesn't care of overall price only what it is a month

For people moving again gained equity in current place likely to get nice rate on new place , as long as monthly payment affordable again long term price not issue.35 year mortgage has definitely made the situation worse

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This ^^^

BOMAD supply deposit FTB doesn't care of overall price only what it is a month

For people moving again gained equity in current place likely to get nice rate on new place , as long as monthly payment affordable again long term price not issue.35 year mortgage has definitely made the situation worse

40 will soon be the new 30. Life begins and all that....

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not round my way "south yorkshire", some nice houses round here been on the market for a loong time. There are a few nice ones but they are priced out of all reality compared to local wages.

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not round my way "south yorkshire", some nice houses round here been on the market for a loong time. There are a few nice ones but they are priced out of all reality compared to local wages.

18 months ago this was exactly what my area was like... now everything is getting snapped up in a matter of weeks, even the ones that are stupidly overpriced compared to local wages.

I'm in North Derbyshire so not far away at all from you... it looks like the ripple of hpi loveliness could be coming to your street any day now.

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18 months ago this was exactly what my area was like... now everything is getting snapped up in a matter of weeks, even the ones that are stupidly overpriced compared to local wages.

I'm in North Derbyshire so not far away at all from you... it looks like the ripple of hpi loveliness could be coming to your street any day now.

Yeah I think some of the boomers are getting a bit panicked as stuff has lay around for ages here. The lower end stuff sells then goes up for rent The nice "real houses" you would raise a family in are sitting for sometimes 2 years or more. The median salary for my area is 20k :)

I would post some good examples but I dont want you lot knowing where i live :P

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I'm assuming this "news" is the reason why the FTSE is, as I type, up 3.54%? If so, proof positive that the UK economy is solely reliant on ever rising house prices.

​Or have I missed some other good news that would make it rise so sharply?

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Where I have been looking, people seem to be adding £15-20k onto the price, even if a house that is basically identical struggled to sell just the month earlier.

Figures show houses are down 1% over the last month or so and yet people keep increasing the asking prices. Some houses have been on the market for 1-2 years. Randomly one will sell really quickly by someone who thinks it's a good price and then it sets a whole knew baseline.

We were considering buying as we have a decent deposit now, but everything on the market is absolute junk.

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18 months ago this was exactly what my area was like... now everything is getting snapped up in a matter of weeks, even the ones that are stupidly overpriced compared to local wages.

I'm in North Derbyshire so not far away at all from you... it looks like the ripple of hpi loveliness could be coming to your street any day now.

+1 here in Wilts. I think it's more to do with lack of supply so anything half-decent gets snapped up (whatever the insane price) and the rubbish languishes. Many people who may have sold in the past are staying put because the costs involved in moving are so high. Doubtless influenced by property progs such as "Love it or List it" with our Kirsty and Phil. :)

I'm waiting for the slowdown/HPC(?) currently in PCL to wash out this far along the M4.

Edited by janch

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