It came out quietly, but property prices fell last reported period by 0.6%.
This is the first reported fall for ages. Prices have been shooting up crazily, and now the bubble could be about to burst. If it does, a year before the election, the Tories and Liberals are toast.
Daily Mail wrote:
House prices could fall by as much as 30 per cent over the next four years, it is predicted today.
That could wipe out all the increases brought by the buying boom since April last year.
The thousands of buyers currently risking 100 per cent mortgages and borrowing up to five times their salary could be plunged deep into negative equity.
For the Daily Mail to say it, it must be serious :
Daily Mail wrote:
Roger Bootle, managing director of Capital Economics, was formerly chief economist at HSBC and one of the Bank of England's 'wise men' who advised Chancellors under the last Tory government.
He said: 'The message is clear. Houses are now so over-valued that a prolonged period of falling prices is on the cards.'
Analysts at Capital Economics say it would take a fall of 22 per cent to bring the cost of homes back into line with what buyers can afford. A more serious slump, with prices collapsing 30 per cent, cannot be ruled out if there is a 1980s-style 'boom and bust' cycle.
While there is a market for shit, there will be assholes to supply it.
JimC wrote:The correct term is a "market correction", I believe...
Can "irrational exuberance" be far behind?
As for the Daily Hate Mail: It will report anything even remotely upsetting to its target demographic, anything that triggers a response. Bad news sells much better than good news.
God has no place within these walls, just like facts have no place within organized religion. - Superintendent Chalmers
It's not up to us to choose which laws we want to obey. If it were, I'd kill everyone who looked at me cock-eyed! - Rex Banner
The Bluebird of Happiness long absent from his life, Ned is visited by the Chicken of Depression. - Gary Larson
JimC wrote:
As for the Daily Hate Mail: It will report anything even remotely upsetting to its target demographic, anything that triggers a response. Bad news sells much better than good news.
Fuck the daily mail. I just noticed that even though that article is dated 2014, and came up in today's search, it's about ten years out of date.
This is by the Telegraph, and definitely about today's price drop. http://www.telegraph.co.uk/finance/econ ... -year.html
It's still significant. If buyers get a whiff that prices are going to drop, they will put all buying plans on hold. A tiny drop becomes a flood of price cuts. If you are at the top of the bubble.
While there is a market for shit, there will be assholes to supply it.
JimC wrote:
As for the Daily Hate Mail: It will report anything even remotely upsetting to its target demographic, anything that triggers a response. Bad news sells much better than good news.
Fuck the daily mail. I just noticed that even though that article is dated 2014, and came up in today's search, it's about ten years out of date.
This is by the Telegraph, and definitely about today's price drop. http://www.telegraph.co.uk/finance/econ ... -year.html
It's still significant. If buyers get a whiff that prices are going to drop, they will put all buying plans on hold. A tiny drop becomes a flood of price cuts. If you are at the top of the bubble.
I think you muddled your quotes; that was klr, not me...
JimC wrote:
As for the Daily Hate Mail: It will report anything even remotely upsetting to its target demographic, anything that triggers a response. Bad news sells much better than good news.
Fuck the daily mail. I just noticed that even though that article is dated 2014, and came up in today's search, it's about ten years out of date.
This is by the Telegraph, and definitely about today's price drop. http://www.telegraph.co.uk/finance/econ ... -year.html
It's still significant. If buyers get a whiff that prices are going to drop, they will put all buying plans on hold. A tiny drop becomes a flood of price cuts. If you are at the top of the bubble.
I think you muddled your quotes; that was klr, not me...
Yeh? Well kindly keep out of my fuck-ups in future. I've not been well.
While there is a market for shit, there will be assholes to supply it.
Then there's Mr El Nino coming around too. You don't need a weatherman to tell you which way the wind is blowing on a global house bubble crash etc. Or what it says about the global economy or your personal life expectancy?
What will the world be like after its ruler is removed?
Hey, I fucking LOVE El Nino! Fucks up Atlantic hurricanes, gives Florida a wet winter (saves a lot in watering the grass), and it's good for the anchovy harvest. What's not to like?
laklak wrote:Hey, I fucking LOVE El Nino! Fucks up Atlantic hurricanes, gives Florida a wet winter (saves a lot in watering the grass), and it's good for the anchovy harvest. What's not to like?
Never bothers the UK. Bastard knows when he's met his match.
What will the world be like after its ruler is removed?
There isnt going to be a real crash for a while because quite simply
70% of people who have houses are very happy with rising house prices
30% of people who don't are fucked
Until the 70% start dying off and there children only get half the money which still won't be enough for them to buy a house the 70% will outvote the 30%
The first politician who actually has the honest to say I couldn't give a fuck about people who won't ever vote for me gets my vote (I actually admire Romney who basically said that)
When only criminals carry guns the police know exactly who to shoot!
MrJonno wrote:The first politician who actually has the honest to say I couldn't give a fuck about people who won't ever vote for me...
Altruism for the win!
I am, somehow, less interested in the weight and convolutions of Einstein’s brain than in the near certainty that people of equal talent have lived and died in cotton fields and sweatshops. - Stephen J. Gould
I am, somehow, less interested in the weight and convolutions of Einstein’s brain than in the near certainty that people of equal talent have lived and died in cotton fields and sweatshops. - Stephen J. Gould