House prices will not crash
21 November 2006, 09:01 AM
#31
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well the interests rates will keep going up. So hopefully the house prices will fall... but i can't see much happening.
Hopefully it crashes!
Hopefully it crashes!
21 November 2006, 09:16 AM
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heres what will happen:
as has already been said, 20 something living with mum at home with scoob on drive and jacking off to a 50" plasma in his bedroom because chicks think he's a saddo could have bought at 100k...........instead they insisted a drop was round the corner and waited. At some point that 100k house, which is now worth £250k may drop back to £210........... at that point saddo will move out and spend his £100k on a ****hole that he cant even fit his plasma in and say how he was right and had predicted a drop all the time.
as has already been said, 20 something living with mum at home with scoob on drive and jacking off to a 50" plasma in his bedroom because chicks think he's a saddo could have bought at 100k...........instead they insisted a drop was round the corner and waited. At some point that 100k house, which is now worth £250k may drop back to £210........... at that point saddo will move out and spend his £100k on a ****hole that he cant even fit his plasma in and say how he was right and had predicted a drop all the time.
21 November 2006, 09:29 AM
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Originally Posted by TopBanana
How is it beneficial?
Do you like the fact that moving to a bigger house would cost you more money, or if you have them, that your kids might not be able to afford their own place when they live home? Beneficial at certain sorts of dinner party I should imagine, but not much else...
Do you like the fact that moving to a bigger house would cost you more money, or if you have them, that your kids might not be able to afford their own place when they live home? Beneficial at certain sorts of dinner party I should imagine, but not much else...
21 November 2006, 09:29 AM
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Originally Posted by The Snug Rhino
heres what will happen:
as has already been said, 20 something living with mum at home with scoob on drive and jacking off to a 50" plasma in his bedroom because chicks think he's a saddo could have bought at 100k...........instead they insisted a drop was round the corner and waited. At some point that 100k house, which is now worth £250k may drop back to £210........... at that point saddo will move out and spend his £100k on a ****hole that he cant even fit his plasma in and say how he was right and had predicted a drop all the time.
as has already been said, 20 something living with mum at home with scoob on drive and jacking off to a 50" plasma in his bedroom because chicks think he's a saddo could have bought at 100k...........instead they insisted a drop was round the corner and waited. At some point that 100k house, which is now worth £250k may drop back to £210........... at that point saddo will move out and spend his £100k on a ****hole that he cant even fit his plasma in and say how he was right and had predicted a drop all the time.
21 November 2006, 09:39 AM
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Originally Posted by Ben v7
No I don't think it's good that house prices are so high - I am certainly not benefiting from it... wrong choice of words.
21 November 2006, 09:40 AM
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Originally Posted by Olly
Why does no-one bat an eyelid when they buy a new car, absolutely knowing it will lose thousands? Yet a house purchase puts the fear of God into people?
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as opposed to being stuck with a house for 25 years plus?
21 November 2006, 09:46 AM
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as has already been said, 20 something living with mum at home with scoob on drive and jacking off to a 50" plasma in his bedroom because chicks think he's a saddo could have bought at 100k...........instead they insisted a drop was round the corner and waited. At some point that 100k house, which is now worth £250k may drop back to £210........... at that point saddo will move out and spend his £100k on a ****hole that he cant even fit his plasma in and say how he was right and had predicted a drop all the time.
I'm not some 20 something saddo (luckly) but you can't buy **** all for £100k.....maybe a one bedroon flat above a fish and chip shop and then your paying maybe what is your absolute limit for something that is worthless.....
There are plenty of options out there like flat share, move out with a mate or a girlfriend but your little speach is way off the mark.....
Luckly i'm a "high paid city worker" so it doesn't bother me but I refuse to pay a fortune for ****....i'll wait....and watch the markets
21 November 2006, 09:47 AM
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Originally Posted by TopBanana
Oh I see. Well I do agree that immigration has kept the cost of housing up for two reasons... Firstly, they need somewhere to live. Even if they rent, a landlord somewhere has to own. Secondly, they are reducing wage inflation, keeping interest rates down.
I have seen immigration been made to blame for many things before, but never house price inflation. That's a new one on me.
How on earth would an influx, at the highest estimate of 300,000 odd workers effect the average wage inflation of the 28.99 million emploted workers in this country?
Government policy is to "blame" for house price rises, nothing else.
21 November 2006, 09:48 AM
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Originally Posted by TelBoy
I blame the overpaid tossers in the City 
I got neg repped for that. You sad **** whoever you are, maybe you ought to find out what i do for a living first
21 November 2006, 10:08 AM
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my tuppence...
i bought my terraced house last year for £70k off my mum who moved out to start her life elsewhere in the town. i took out a mortgage for £75 to get some work done on the house. 18 months later the house is worth at least £87-90k when at the time of purchase it was valued at £77-80k.
not much of a price drop, but for relitivly cheap money i have a sturdy terraced house in a good area, never any vehicle crime, or noisy neighbours, bar the odd exception. i think i was wise to buy the time i did, as said the house has rised around 13-15% in 18 months, but my wages have not.
im comparison a mate in cleethorpes bough his house just before the boom in prices 5 or so years ago, and his mortgage is a third of what mine is, and boh houses are valued around the same now. he is 4-5 years older than me though as im 22 and had the mortgage when 20 going 21.
i wouldnt, howver, consider renting, mainly because the money is going into somebody elses pocket, ie a landlord, while to me a mortgage is like an extended loan. say in 25 years time i have this "loan" payed off, i will have a house many times worth what it is now. thats it put in the simplest terms anyway, there being obvious factors that can affect this. this was the main reason i bought a house so young, but do regret it in a sense that i havent got the money to buy another scoob and show off in it with the mrs, as im paying a mortgage and not lower rent. hope it pays off though in years to come.
andy
i bought my terraced house last year for £70k off my mum who moved out to start her life elsewhere in the town. i took out a mortgage for £75 to get some work done on the house. 18 months later the house is worth at least £87-90k when at the time of purchase it was valued at £77-80k.
not much of a price drop, but for relitivly cheap money i have a sturdy terraced house in a good area, never any vehicle crime, or noisy neighbours, bar the odd exception. i think i was wise to buy the time i did, as said the house has rised around 13-15% in 18 months, but my wages have not.
im comparison a mate in cleethorpes bough his house just before the boom in prices 5 or so years ago, and his mortgage is a third of what mine is, and boh houses are valued around the same now. he is 4-5 years older than me though as im 22 and had the mortgage when 20 going 21.
i wouldnt, howver, consider renting, mainly because the money is going into somebody elses pocket, ie a landlord, while to me a mortgage is like an extended loan. say in 25 years time i have this "loan" payed off, i will have a house many times worth what it is now. thats it put in the simplest terms anyway, there being obvious factors that can affect this. this was the main reason i bought a house so young, but do regret it in a sense that i havent got the money to buy another scoob and show off in it with the mrs, as im paying a mortgage and not lower rent. hope it pays off though in years to come.
andy
21 November 2006, 10:18 AM
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Originally Posted by PeteBrant
How on earth would an influx, at the highest estimate of 300,000 odd workers effect the average wage inflation of the 28.99 million emploted workers in this country?
If you're talking specifically about the numbers of new employees, 1% is significant.
Low inflation is obviously a good thing, but it has contributed along with cheap imports to the current low interest rates, which in turn has allowed the housing market a bit of breathing space.
21 November 2006, 10:21 AM
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Oh I make you right....I always promised myself not to rent......but with the current rates/hikes/******* bullsh!t, whatever way you look at it it's gonna cost you....and I for one don't want to grow old in this toliet of a country....but with a new job and a mountain of possibilities.....i've got nothing but time....
Plus with working up town, to move out to cheaper areas increases my travel so it's a loose loose situation.....i'd rather roll with it...lol
Plus with working up town, to move out to cheaper areas increases my travel so it's a loose loose situation.....i'd rather roll with it...lol
21 November 2006, 10:24 AM
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Originally Posted by PeteBrant
I have seen immigration been made to blame for many things before, but never house price inflation. That's a new one on me.
How on earth would an influx, at the highest estimate of 300,000 odd workers effect the average wage inflation of the 28.99 million emploted workers in this country?
Government policy is to "blame" for house price rises, nothing else.
How on earth would an influx, at the highest estimate of 300,000 odd workers effect the average wage inflation of the 28.99 million emploted workers in this country?
Government policy is to "blame" for house price rises, nothing else.
If 100,000 Asylum seekers (conservative figure) enter the UK every year (say for the last 5 years) and are approved by our Government, what Happens. They get GIVEN a home.
2 things. Firstly, who pays for that home? We do, the Tax payer. Secondly, Less homes available for people to buy mean house prises rise (supply and demand).
Now that is all very good, for those who like to brag (and Britain seams to brag the most) that their home cost £650,000. Look at me Mr. Big Bollox, I paid this for my home. Yet 5 years ago, that house was probably available at £200,000. I know which I'd rather pay.
There has to be a break point somewhere. If the House prise rise keeps going upwards then every home in the land will become too high for most people.
House prises are going up. Gas, electricity, water, House tax, are all going up. The Government are debating getting rid of the 25% discount for single occupants (affects me) while debating when to hike up the house tax to the current levels of valuations. Will affect us all. All of these rises, and I'm willing to bet no one wage has gone up to meet all these new expense. I wish mine had, but sadly not.
I have worked it out, and even though I'm on a fixed mortgage, and have always kept car repayment to a certain limit, I'm worse off now than I was 3 years ago, even though I've had 3 pay rises since.
It can't go on for ever, even though Mr. Big Bollox likes to think it can so he can say his house is worth even more next year.
Or it just could be that all these people who've bought houses at such a high rate are just sh1tting themselves as they'll all be in negative equity once the bubble bursts.
21 November 2006, 10:45 AM
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I dont. absolute rubbish. I know plenty of Polish workers in town who work damn hard to pay the rent on their place. I know some who are renting a house (3 people) all living together chipping in. They do work hard when they come over and theyre not illegals either so dont spout that everyone gets a house (off course some do but not all) Its like this all over the country, Im sure its not limited to my little town.
21 November 2006, 10:56 AM
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Originally Posted by davegtt
I dont. absolute rubbish. I know plenty of Polish workers in town who work damn hard to pay the rent on their place. I know some who are renting a house (3 people) all living together chipping in. They do work hard when they come over and theyre not illegals either so dont spout that everyone gets a house (off course some do but not all) Its like this all over the country, Im sure its not limited to my little town.
Free houses to them mean inflated house prises for the rest of us.
21 November 2006, 11:15 AM
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Originally Posted by TopBanana
It's a well accepted and easily understood phenomenon. Lots of people, especially those with low pay expectations, entering the labour market means employers don't have to pay more to attract employees.
If you're talking specifically about the numbers of new employees, 1% is significant.
Low inflation is obviously a good thing, but it has contributed along with cheap imports to the current low interest rates, which in turn has allowed the housing market a bit of breathing space.
If you're talking specifically about the numbers of new employees, 1% is significant.
Low inflation is obviously a good thing, but it has contributed along with cheap imports to the current low interest rates, which in turn has allowed the housing market a bit of breathing space.
21 November 2006, 11:30 AM
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Have to drive through a pretty grotty part of the midlands to work.
Most houses have a BMW/Merc/4x4 on the drive of their very grotty houses.
Why do people suddenly think the economic position is invincible?
I feel it is more precarious than it has ever been.Only those with vested interests keep 'bigging up' the market to try and sustain it.
Most houses have a BMW/Merc/4x4 on the drive of their very grotty houses.
Why do people suddenly think the economic position is invincible?
I feel it is more precarious than it has ever been.Only those with vested interests keep 'bigging up' the market to try and sustain it.
21 November 2006, 11:41 AM
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Originally Posted by PeteBrant
I have seen immigration been made to blame for many things before, but never house price inflation. That's a new one on me.
How on earth would an influx, at the highest estimate of 300,000 odd workers effect the average wage inflation of the 28.99 million emploted workers in this country?
Government policy is to "blame" for house price rises, nothing else.
How on earth would an influx, at the highest estimate of 300,000 odd workers effect the average wage inflation of the 28.99 million emploted workers in this country?
Government policy is to "blame" for house price rises, nothing else.
Think things may well go the way of the continent where most rent and just can't afford properties of their own. So much for Gordon's great distribution of wealth idea - the younger generations are now screwed and will be condemed to decades of renting if we don't have a big correction.
21 November 2006, 11:51 AM
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Originally Posted by PeteBrant
Buy surely offset by inflation busting pay rises in the public sector. The NHS , for example. It employs over 1 million people - If, and they do, get over inflation pay rises it offsets any under inflation averages through immigration.
21 November 2006, 11:58 AM
#57
Originally Posted by Ben v7
With well over a million people coming to live and work in the Uk over the last 5 years that that is bound to drive up house prices - certainly haven't been the equivalent of that in new homes. I do believe that maintaining high house prices is a deliberate government strategy.
Nice little earner eh?
21 November 2006, 11:59 AM
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Originally Posted by Ben v7
I do believe that maintaining high house prices is a deliberate government strategy.
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A house market crash is a definite vote loser, people will blame the government of the day, which is why they are desperate for house prices to stay high. Helped, of course, by Estate agents happy to price houses well over thier worth.
21 November 2006, 12:00 PM
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Originally Posted by TopBanana
You've misunderstood what I've said. If these immigrant workers weren't in the market, wage inflation would be higher. I don't claim that immigrants make up the entire workforce, or that this is the primary cause of house price inflation, but it is a contributing factor.
21 November 2006, 12:04 PM
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Originally Posted by SJ_Skyline
The amount of stamp duty revenue raised from sales of properties valued at more than £250000 has risen by 175% from £1.2bn in 2000/01 to £3.4bn in 2005/06 - according to HBOS.
Nice little earner eh?
Nice little earner eh?
It's a completely irresponsible strategy by the government that is going to back fire in their faces, and cause a lot of people a lot of stress.
The first time buyer is going to be priced out of the market soon, and once that happens, it will all come tumbling down.
Would be fine is peoples pay rises were based on inflation including house prices, but they aren't.