Friday, Nov 27, 2009

Land Registry: +0.6% MoM, -3.4% YoY

FT: House prices up for fifth month in a row

House prices rose 0.6 per cent in October compared with September making average home in England and Wales now worth £159,546, according to the Land Registry. However the annual house price change still stands at minus 3.4 per cent.
The north west experienced the greatest monthly rise with a movement of 1.9 per cent.
Wales was the region with the most significant monthly price fall with a movement of minus 2.3 per cent.

Posted by little professor @ 01:01 PM (3128 views)
Add Comment
Report Article

24 Comments

1. will said...

So we are back to where we were two years ago. Previous corrections over the past fifty years have taken much much longer to return to their highs. So has Gordon Brown has won his quest to prevent 'boom and bust' ? I don't think so because an even larger proportion of our population is now unable to buy a house at these new 'recovered' prices due to growing un-employment and wage de-flation.

I believe the housing market is now frozen judging by the number of houses I see on the internet which didn't sell two or more years ago, excluding the mafia purchases in London.

Friday, November 27, 2009 01:34PM Report Comment
 

2. rumble said...

Will, "So we are back to where we were two years ago." - you've lost me..?

Friday, November 27, 2009 01:53PM Report Comment
 

3. little professor said...

Will - we're nowhere near where we were two years ago.

Land Registry November 2009: Average house price £159,546
Land Registry November 2007: Average house price £184,346

House prices still need to rise by 15.5% to get us back to Nov 2007 levels. Plus, the second leg of the Great House Price Crash is just about to get underway.

Friday, November 27, 2009 02:15PM Report Comment
 

4. tudorian said...

Cheers little prof

I'd began to start believing that house prices must be back to 2007 level .... must be all that VI spin they try to feed me. Also, the steady drip feed of economic bad news is soon going to kick in and put the house price wheels back into reverse.

My business is pretty slow at the moment..thinking about selling it. I hope that soon whatever money that is left will be better invested in a functional and profitable business than shares (bound to fall) and property (illiquid and overpriced).

As far as what to do with the proceeds (round the 6 figure mark), I'm open to safe suggestions from the floor

Friday, November 27, 2009 02:27PM Report Comment
 

5. will said...

I live in Exeter and sold to rent in 2005. I have monitored average asking prices using Rightmove. They peaked at £200K in 2007 and today remain at £200K with average earnings at £24K - still 8X earnings. The data produced by Nationwide has not affected prices around here. I would say that there are many houses still listed for sale in Exeter from when I sold my house - five years ago! Now that's not what I call a market. Also only very few repossessed / auctions appearing.

Friday, November 27, 2009 02:28PM Report Comment
 

6. rumble said...

Will, still for sale at £200k or sold at £200k?

Top heavy population age?

Friday, November 27, 2009 02:35PM Report Comment
 

7. Houses_burning said...

The key to this is the sales volumes which remain lower than last year. With such low levels of sales it can be argued that the only people buying at the moment are people with big deposits and cash buyers who may be buying property at the higher end of the market, hence the increase in the average house price. While the average joe cannot afford to buy property hence the low level of sales volumes. If the price of property comes down then maybe the average joe could buy a property and then the sales volumes may increase. The index seems to be flawed at the moment as it does not link low sales volumes with affordabilty.

Friday, November 27, 2009 02:53PM Report Comment
 

8. will said...

Rumble

Older in parts but not so much Exeter which has a University. Most jobs are public sector - so limited pay. We don't have as many bankers here as in London to push our average earnings higher.

I remember seeing an article in the papers when the first house sold in Devon for 1 million pounds - in 2005 and now four or five times that is not un-heard of. When I phone around the estate agents and ask what sort of a discount I could now expect - they say, 'what house price correction ?'

Sorry guys - just having a bad day..

Friday, November 27, 2009 02:53PM Report Comment
 

9. rumble said...

Possible that when reality does bite, it will be an impressive bite. The extended supports getting weaker.

Friday, November 27, 2009 03:07PM Report Comment
 

10. hpwatcher said...

I don't find this surprising at all, with both BOE and the government doing absolutely everything to keep interest rates artificially low.

What did Thatcher say about trying to buck the market?

Friday, November 27, 2009 03:12PM Report Comment
 

11. Tabbycat said...

And the sooner it bites the better! Once 2010 is upon us and the reality sets in and the public sector start losing jobs, the unions cause mayhem plus with the inevitable tax increases more job losses and then......... the house price falls it wil not be nice!

Friday, November 27, 2009 03:18PM Report Comment
 

12. estrader said...

@7 Houses_burning - It is because the public is only attracted by changes in price. If a total of only two houses sell in November at double peak 2007 levels the media will report that 'house prices' have doubled and the public wouldn't understand the insignificance of the figures, what makes it worse is that they do not understand that they do not understand!!

Friday, November 27, 2009 03:37PM Report Comment
 

13. rumble said...

"And if by artificially controlling the exchange rates between countries you try to buck the market, you will soon find that the market bucks you — and hard."

Systems tend to equilibrium. Disruptive technology. Mutation. Evolution.

Friday, November 27, 2009 03:38PM Report Comment
 

14. rumble said...

"they do not understand that they do not understand"- ignorance of one's ignorance.

Friday, November 27, 2009 03:45PM Report Comment
 

15. hpwatcher said...

"And if by artificially controlling the exchange rates between countries you try to buck the market, you will soon find that the market bucks you — and hard."

Systems tend to equilibrium. Disruptive technology. Mutation. Evolution.


Thanks. What's scaring me is the amount of money being spend to do this madness.

Friday, November 27, 2009 04:13PM Report Comment
 

16. hpwatcher said...

Plus, the second leg of the Great House Price Crash is just about to get underway.

Amen to that Little P.

Friday, November 27, 2009 04:14PM Report Comment
 

17. Downsizingdiva said...

Land Registry always lags behind Haliwide data by 2 months. This is OLD news!

Friday, November 27, 2009 05:55PM Report Comment
 

18. smugdog said...

LP, "Plus, the second leg of the Great House Price Crash is just about to get underway".
Sound like a carefully orchestrated assault, or indeed a new direction in "the" bubbles graph that many so worship,
or perhaps just idle wishful thinking.

Friday, November 27, 2009 06:35PM Report Comment
 

19. mr g said...

My wife acting as executor for a deceased relative recently sold a 3 bed semi, (in a rundown condition), in a suburb of a West Yorkshire city in 27 days for 88% of the asking price. A similar property in the same road was subsequently marketed at £134K and sold for £130K in 2 weeks. This is quite an industrial area, not exactly the leafy suburbs yet these are not the only properties in that area to have sold quickly over the last 4 months.
A lot of houses in more desirable areas of West Yorkshire ranging from £200K up to £500K don’t appear to be selling. One very attractive 3 bed detached in my area, with good sized gardens and a good view, albeit needing quite a lot of updating has been on the market at £320K for 18 months. Even though I consider house prices to be obscenely overpriced and allowing for the work required, I fail to see why this property has not sold.
I really don’t intend to sound superior or snobbish but IMO, houses at the lower end of the market in this area are being snapped up by people with little or no understanding of the gravity of the economic situation, whereas people likely to look at higher priced property are showing more financial awareness.
I would not have made the last point 3 years ago when everyone was following the herd mentality but I now detect a little realism and sanity returning to some sections of the market up here. I put it down to Yorkshire common sense.

Friday, November 27, 2009 06:58PM Report Comment
 

20. estrader said...

@17 Mr g,

"houses at the lower end of the market in this area are being snapped up by people with little or no understanding of the gravity of the economic situation"

A good analysis, but you have to consider that people buying at the lower end of the market are not buying from a supermarket, they are buying from someone selling at the lower end of the market. So the question is - who has a better grasp of the economic situation at the lower end of the market, the buyer or the seller? I doubt they are all forced sellers.

Time will tell...

Friday, November 27, 2009 07:44PM Report Comment
 

21. nomad said...

Will@8. During the 1989-1995 crash the last region to fall was the west country.

Keep the faith.

Friday, November 27, 2009 09:07PM Report Comment
 

22. Mysterious Girl said...

@Rumble (12)
-----------------------------------------------------------------------
I think that's BUCK with a capital F!
-----------------------------------------------------------------------
"And if by artificially controlling the exchange rates between countries you try to buck the market, you will soon find that the market bucks you — and hard."

Systems tend to equilibrium. Disruptive technology. Mutation. Evolution.

Friday, November 27, 2009 10:04PM Report Comment
 

23. Mysterious Girl said...

Nomad@19 - You make it sound like a great battle. The Great Property War?

Friday, November 27, 2009 10:11PM Report Comment
 

24. fallingbuzzard said...

The thing is that Land Registry now reflect sentiment 3 to 6 months ago, when the spin was boom property markets because of hyperinflation caused by QE. Boom, my ass!

Saturday, November 28, 2009 01:15AM Report Comment
 

Add comment

  • If you do not have an admin password leave the password field blank.
  • If you would like to request a password allowing you to add comments and blog news articles without needing each one approved manually, send an e-mail to the webmaster.
  • 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
Username  
Admin Password
Email Address
Comments

Main Blog | Archive | Add Article | Blog Policies