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laurejon

The Media Today

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Take a look around todays News Media and what do you find.

Hamptons on Google Business

Despite being the wettest May in over two hundred years property fever does not appear to have been dampened by the weather. Compared to the same time last year Hamptons Mortgages has seen the number of new business cases almost double from just over 150 in May 2005 to in excess of 300 in May 2006.

Home purchases, as a percentage of all Hamptons Mortgages' business, are at an annual high and represent over half (50.68%) of all new business. This is a reflection of the strength of the current property market.

In fact all the Vi's have put up story's of record sales, and increased affordability. I for one believe that sales are up on a mammoth scale. In my area on the South Coast just about everything is sold, and prices are for sure up on last year. The market like the weather is very hot.

However is that an indication that it is time to buy?. For me certainly not, its an indication that its the time to sell.

The news of record sales, and record borrowing against a background of somewhat more important news coming from the Global Financial institutions.

Global Meltdown, Global Recession, Stock Markets Tanking, Financial Chaos.

You can make your own minds up, its going to be an interesting year ahead.

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I've just been scanning the websites of a few of the UK newspapers and it's amazing to see so many stories of increased wealth and house prices side-by-side with those detailing increasing debt and "What to do if the Baliffs visit". The press is stuck in no-man's land and doesn't know which way to turn ... IMO it's only a matter of time before the increased wealth and house price rise stories disappear and the issue of debt becomes the main focus!

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Reality:

http://observer.guardian.co.uk/business/st...1799936,00.html

The economy is in fine shape, so why all the angst?

Richard Wachman

Sunday June 18, 2006

The Observer

When people fret about the economy, I sometimes wonder what all the fuss is about. The restaurants are full, the supermarkets are bursting at the seams with cheap and exotic food at knock-down prices. House prices are rebounding after a slowdown in 2005 and millions are splashing out on summer holidays.
So why are markets around the world tanking, with prices down by about 10 per cent since the start of the year? Most experts agree that the prospect of higher interest rates to choke off inflation, especially in the US, lies behind the sharp falls in the value of equities, bonds and commodities.
Central bankers from Mervyn King to Ben Bernanke are telling us that
the era of cheap money is coming to an end. Somewhere in the background alarm bells are ringing, because if central bankers are worried, then we all ought to be nervous .
But then again, bankers are paid to worry.

And are house prices really roaring ahead? Not Upnorth according to the recent Quarterly ODPM stats:

Northumberland £149,225 -8.8%

Cumbria £143,851 -1.6%

Tyne And Wear £132,526 -0.3% 3

Stockton-On-Tees £128,643 -5.0%

Darlington £125,556 -5.6%

Durham £114,329 -4.3%

Redcar And Cleveland £109,289 -11.2%

Middlesbrough £108,982 4.7%

Hartlepool £98,770 -5.2%

Rutland £228,672 -7.7%

Leicestershire £170,145 -3.5%

Northamptonshire £158,537 -3.5%

Lincolnshire £147,659 -1.9%

Derbyshire £147,537 -3.5% 01

Nottinghamshire £146,871 -2.0%

City Of Derby £137,082 -0.3%

Leicester £134,130 0.3%

City Of Nottingham £119,797 -5.2%

Herefordshire £208,672 2.2%

Worcestershire £184,936 -3.3%

Warwickshire £184,860 -3.4%

Shropshire £184,664 -3.1%

Staffordshire £161,232 -0.1%

West Midlands £146,903 0.3%

Wrekin £140,819 1.2%

Stoke-On-Trent £89,910 -5.6%

North Yorkshire £200,881 0.9%

York £184,466 4%

East Riding Of Yorkshire £154,431 -4.5%

West Yorkshire £138,242 -1.1%

South Yorkshire £126,326 -1.4%

North Lincolnshire £122,869 -2.7%

North East Lincolnshire £102,179 -1.9%

City Of Kingston Upon Hull £83,231 1.4%

South not so hot either:

Dorset £226,010 -0.5%

Devon £212,600 -0.3%

Wiltshire £209,024 -3.5%

Cornwall £203,006 -2.5% -

Bournemouth 5.7% 992

Gloucestershire £201,799 -0.5%

North Somerset £185,780 -4.6%

Somerset £183,850 -1.5% -2.0%

South Gloucestershire £182,959 -2.5%

City Of Bristol £178,116 0.6% -0.9%

Torbay £174,208 -2.0%

Swindon £155,868 -2.3%

Sources: http://news.bbc.co.uk/1/shared/spl/hi/in_d...tml/region1.stm

Don't believe all that you read in the newspapers but check out the stats for yourself.

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It is very true, we have never had it so good.

But then we have never been allowed in the past to borrow more than we can afford to repay.

Banks of yesteryear investigated all applications and that would include a vist to the branch before agreeing to a loan.

Nowadays, 40k over the phone is no problem, credit card limit raised to 20k over the phone "No Problem".

So for sure its changed, we have never had it so good, shops are stacked to the ceilings each day to cater for the armies of spend today Fck tommorow citizens to feed their never ending greed for all things material.

If we had a trade suplus, and low Government debt, and low public debt, then for sure it would be a miracle, something to boast about.

But we dont, we have people taking on mortgages, subsidising the repayments with additional borrowing, all in the hope that prices will keep going up at a rate faster than they can borrow.

How sustainable is all this..........................well factor in the third world waiting on the doorstep to do your job for less than 2% of your wages and I'm afraid you had better get yourself off to millets soon and start looking at the prices of tents.

Debt Payment Defaults are at a record high, and the fun has not even begun to start.

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Debt Payment Defaults are at a record high, and the fun has not even begun to start.

Indeed! In all the recent turmoil on the Stock Markets, there's one sector who's prices haven't been that affected (and have even gone up!) ... debt companies!!! Here's a snapshot of a the "Preliminary Results" for the year ended March 2006 from Debtmaters (Epic: DEBT) that came out a couple of days ago...

Key points:

Maiden preliminary results ahead of expectations:

• Turnover up 212% to £7.8m (2005: £2.5m)

• PBT up 460% to £2.8m (2005: £500k)

Strong growth with 554 IVA cases approved in March: up 329% on March

2005

• Market share now 14% - doubled since float

IVA market continues to grow - UK Consumer debt now running at almost

£1.2 trillion

• Acquisition of Unique Business Finance Limited broadens scope of

insolvency service

• Investment in infrastructure underpins steady growth

Significant opportunities exist in target markets to grow the business

• Directors confident of future prospects in the year ahead

If these guys are doing so well, that's not a good sign for Joe Public and the economy as a whole!!! (But it's great news for my shares! :ph34r: )

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It is very true, we have never had it so good.

But then we have never been allowed in the past to borrow more than we can afford to repay.

Banks of yesteryear investigated all applications and that would include a vist to the branch before agreeing to a loan.

Nowadays, 40k over the phone is no problem, credit card limit raised to 20k over the phone "No Problem".

So for sure its changed, we have never had it so good, shops are stacked to the ceilings each day to cater for the armies of spend today Fck tommorow citizens to feed their never ending greed for all things material.

If we had a trade suplus, and low Government debt, and low public debt, then for sure it would be a miracle, something to boast about.

But we dont, we have people taking on mortgages, subsidising the repayments with additional borrowing, all in the hope that prices will keep going up at a rate faster than they can borrow.

How sustainable is all this..........................well factor in the third world waiting on the doorstep to do your job for less than 2% of your wages and I'm afraid you had better get yourself off to millets soon and start looking at the prices of tents.

Debt Payment Defaults are at a record high, and the fun has not even begun to start.

I agree totally.

HPI is very bad for the UK. Every time housepeices rise, the cost of providing service X or making product Y in the UK also rises as we have to pay our people to do those jobs and they have to live somewhere. The UK becomes less competitive until, taken to its logical conclusion, we all lve in >£1M houses but have no jobs. Sorry, Kirsty, but houses cannot continue to rise in value indefinitely.

It is not just the horrendous quantity of debt that is the problem, it is the fact that there seems to be no slowdown let alone a turnaround in the levels of debt that worries me. The nation continues to solve the problem of debt by borrowing even more. Maybe it is so long now since the repos of the early 90s that people simply do not believe that such things could happen/.

Miracle economy? er, no!

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I agree totally.

HPI is very bad for the UK. Every time housepeices rise, the cost of providing service X or making product Y in the UK also rises as we have to pay our people to do those jobs and they have to live somewhere. The UK becomes less competitive until, taken to its logical conclusion, we all lve in >£1M houses but have no jobs. Sorry, Kirsty, but houses cannot continue to rise in value indefinitely.

It is not just the horrendous quantity of debt that is the problem, it is the fact that there seems to be no slowdown let alone a turnaround in the levels of debt that worries me. The nation continues to solve the problem of debt by borrowing even more. Maybe it is so long now since the repos of the early 90s that people simply do not believe that such things could happen/.

Miracle economy? er, no!

What concerns me is the growing number of anecdotal reports of people re-mortgaging to pay the mortgage!

Unless they are planning to sell to clear their debts the compounding effect of interest upon interest is a ruinous path to follow.

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I agree totally.

HPI is very bad for the UK. Every time housepeices rise, the cost of providing service X or making product Y in the UK also rises as we have to pay our people to do those jobs and they have to live somewhere. The UK becomes less competitive until, taken to its logical conclusion, we all lve in >£1M houses but have no jobs. Sorry, Kirsty, but houses cannot continue to rise in value indefinitely.

As someone on here said the other day, an economy cannot get rich by buying and selling houses from each other. House prices can continue to go up, but no wealth is actually generated, only debt. Maybe people should stop worrying about how they can make money by buying/selling houses at the right time, and concentrate on producing some goods/services that people actually want.

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How sustainable is all this..........................well factor in the third world waiting on the doorstep to do your job for less than 2% of your wages and I'm afraid you had better get yourself off to millets soon and start looking at the prices of tents.

Debt Payment Defaults are at a record high, and the fun has not even begun to start.

Great, personally I hope we go into a big recession so the housing market collapses, and loads of foreigners leave as an added bonus.

I think it would do us a lot of good. We're much too wasteful.

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Consider this, in 1997 your mortgage for a FTB 45k, now more like 180k.

Have your earnings gone up 300%, or maybe your living expenses have gone down 300% ?.

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Consider this, in 1997 your mortgage for a FTB 45k, now more like 180k.

Have your earnings gone up 300%, or maybe your living expenses have gone down 300% ?.

Exactly, but we're living in cloud cuckoo land now.

At least the socialists will never again be electable once it really all goes off. I'm just praying that it happens before the next election.

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On the News today, even the Labour Party Supporters wish the Labour Party to lose the next election.

They cite the extremism in the New Labour Party as the reason for wishing them to fall from office, preferably at a great height!!!!.

They have now presented themselves as completely and utterly unelectable, it is very difficult for the electorate to establish what a Government have been doing in office, as the Government can easily cover up the mistakes and errors. However due to the lenght of time Labour have been in, things are now surfacing, and if this is the tip of the iceburg then heaven knows what we will find out in the future!!! when they have gone leaving the taxpayer to pick up the pieces.

I think the damage is now done, and it will take generations for the British Public to get back on track.

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On the News today, even the Labour Party Supporters wish the Labour Party to lose the next election.

They cite the extremism in the New Labour Party as the reason for wishing them to fall from office, preferably at a great height!!!!.

They have now presented themselves as completely and utterly unelectable, it is very difficult for the electorate to establish what a Government have been doing in office, as the Government can easily cover up the mistakes and errors. However due to the lenght of time Labour have been in, things are now surfacing, and if this is the tip of the iceburg then heaven knows what we will find out in the future!!! when they have gone leaving the taxpayer to pick up the pieces.

I think the damage is now done, and it will take generations for the British Public to get back on track.

I hope the BNP get in, and then reclaim the assets of these champagne socialist crooks who have created a system where the indeginous population are paying for their own self destruction and made to feel guilty for questioning it.

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[quote name='laurejon' date='Jun 18 2006, 05:45 PM' post='402447'

I think the damage is now done, and it will take generations for the British Public to get back on track.

As in 1979 the Tories will have to make some very hard decisions to get the country back on track, and they will be hated for it AGAIN !!

All because of another Labour Governments irresponsible tax & spend policies.

I just hope that Cameron has the "balls" that Thatcher had to make those hard decisions, somehow I doubt he has.

When will they learn & more importantly when will we the electorate learn ???

People have such short memories !!

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  • 302 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%



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