Jump to content
House Price Crash Forum
Sign in to follow this  
gruffydd

Hamish On House Prices

Recommended Posts

Yes, an interesting article looking at some more consequences of a drop in house prices.

Quite worrying that we have more "invested" in property (£2,400bn) than the £1,600bn invested in all other savings assets (pensions, savings, shares etc).

The correction is really going to put a spanner in the works this time round.

Share this post


Link to post
Share on other sites
Guest

We haven't invested in property as a nation. We have pissed away our future.

We have placed a gamble that the next man will pay the inflated price, and that when he does so, his inability to clear his mortgage debt anywhere near as quickly will lead to no consequences for jobs in the economy.

Share this post


Link to post
Share on other sites
All this sounds a bit glum. I don't think we inevitably face a housing crash, with a consequent sharp fall in consumption, though it would be mad not to acknowledge the possibility. It is more likely that we will have a long period - say, four years - of relatively small rises in living standards. People will pare back their borrowing a bit, save rather more for their pensions, hold down any growth in their consumption. The Government will do the same, with increases in spending levelling off (as the Chancellor plans) and a gradual start made on correcting the budget deficit.

So, tough luck on all the FTBs then who, 4 years from now, still will not be able to buy under these current circumstances?

Share this post


Link to post
Share on other sites
Guest

So, tough luck on all the FTBs then who, 4 years from now, still will not be able to buy under these current circumstances?

That's a fine timeframe for an interest rate rise. I just don't buy "flatness forever".

Share this post


Link to post
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...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

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.