Thursday, January 29, 2009

Nationwide latest (part 2)

House prices 'continue to slide'

The slump in house prices continued in January with prices falling by 1.3%, according to the Nationwide, the UK's largest building society. The mortgage lender said the rate of price falls had eased slightly when compared with December's 2.5% slide. But the fall took the annual rate of decline in house prices to 16.6%, from a 15.9% in December. Amid rising unemployment, job security worries were likely to be putting people off buying a new home, it said. The average house now costs £150,501, down from £153,048 a month ago and £35,543 below the peak of October 2007.

Posted by jack c @ 09:05 AM (2813 views)
Please complete the required fields.



8 thoughts on “Nationwide latest (part 2)

  • LP – can u pls post up the graph (you know everyone loves it!)

    Reply
    Please complete the required fields.



  • This one?

    Reply
    Please complete the required fields.



  • Thats the one (LOL)

    Reply
    Please complete the required fields.



  • but!

    is the following happening over here also?

    ~~~~~~~~~~~~~~~~~~~~~~
    Dazed and Confused – that’s because you’re being mugged.
    http://www.dormroomderivatives.com/2009/01/profiting-from-bernankes-super-fed.html

    We don’t have the data access, resources or tools to prove what is happening but if our hunch is right then we have an extraordinary situation. The Fed is having the US government borrow vast sums through the issuance of Treasury Securities issued to the Fed by the government in exchange not for cash but for a data entry in the government’s accounts with the Fed, the Fed then takes this non-cash money, this data entry, from the government’s account and credit’s it to the accounts of it’s crony banks who immediately give it back to the Fed in exchange for the Treasury Securities issued by the government to “fund” the injection into the banks. http://www.sott.net/articles/show/174300-Dazed-and-Confused-that-s-because-you-re-being-mugged- So the US government runs up vast debts, the banks get to rebuild their balance sheets and, to the extent this is fully mirrored at all levels, absolutely no money goes into the economy whatsoever. America is being scammed and, ironically, Obama’s “tough restrictions may only exacerbate the scam.

    Reply
    Please complete the required fields.



  • It is good to see these statistics reflect pretty much what the market appears to be doing, but there is still a much bigger problem with the market, and that is the volume.

    Volumes are still so low that all these stats are pretty meaningless.

    I have seen two forced sales locally in the last 4 weeks (South Leics).

    The first was sadly a chap whose business went bust, he had had his house up for 18 months starting at 650K down eventually to 400k, he has just sold for 299k (the sale had previously fallen through 3 times).

    The second was a divorce, the original price of the house was 1200k and they have just sold for 650k.

    Once forced sales become more common, the fall in prices will be much steeper.

    Reply
    Please complete the required fields.



  • “While there are signs of interest in the market, with interest rates and house prices very low, this amounts to nothing in the absence of credit.”

    Prices very low? Not yet they’re not. Still a way to go.

    Reply
    Please complete the required fields.



  • @phdinbubbles – that graph would look even better with a longer time series.
    Also agree with wd’s point about volumes. Volumes are down because the market hasn’t established a workable price yet. The chap from Nationwide said that people can’t get mortgages on high LTVs – one way to solve this equation is to lower the V.

    Reply
    Please complete the required fields.



  • @cyril
    There’s a longer time series version on this site

    Reply
    Please complete the required fields.



Add a comment

  • Your email address is required so we can verify that the comment is genuine. It will not be posted anywhere on the site, will be stored confidentially by us and never given out to any third party.
  • Please note that any viewpoints published here as comments are user´s views and not the views of HousePriceCrash.co.uk.
  • Please adhere to the Guidelines

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes:

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>