So what happens when people HAVE to sell? Death, divorce, loss of job, house has been repossessed and is being sold off.

Even if all homeowners were totally deluded about the house being 'worth' more than buyers are willing/able to pay, then prices will still continue downwards due to the forced sales - just transaction levels would fall.

To an extent this is whats been happening for the last couple of years, but rather than improving the conditions for house buying are getting rapidly worse - available credit is drying up much faster than many people (me included) expected.

House prices falling back to a 'normal' level (around 50% off current values), and tradional lending conditions (big deposit requires, 3 x salary multiples) can only be a good thing in the long run for stability.

 

I would be happy for values to drastically drop but its never gonna happen!

 

Well I think you're going to be very happy then as I fail to see how it can go any other way.

 

Bad day for the faithful.

Prices down 3.6%

http://www.telegraph.co.uk/finance/e...n-a-month.html

 

"UK house prices fall by record 3.6pc in a month!!!!!!!

The UK housing market has suffered a shock as figures from the Halifax revealed the average price of a property dropped more than £6,000 in September"

Holy Crap - it has really started!!!

Hang onto you bonnets ladies ... this is going to be scary

WooooHoooooo!!! Can't wait - I have been waiting for this moment ... prices in freefall, cash rich to mop up the carnage.

All we need is Interest Rates to increase to 3% - that's 6x where they are now - and it's goodnight Vienna.

Great news for the First Time buyers and youngsters!

 

I see from the two posts above that the rosy outlook for house prices in continuing.

Fill yer boots everyone. The only way is up, BTL'ers unite and build that property empire.
Etc etc.

I'm sure someone will be along shortly to disprove the lstest figures by telling us about a bloke who sold for asking.

 

Agreed - bring on the total collapse of the housing market

Everything just points to massive falls in prices - hopefully back to 'normal' levels. Something that is still needed is much tighter rules on BTL - homes should not be allowed to become investment vehicles again - morally and socially wrong.

 

Things will only get worse for families and therefore for the housing market ... there is no way out of it.

The Bankers have spent all our money and we need to pay .... while they dip their bread with bigger and bigger bonuses!!

 

hodgy_02, nkjmrs and the other deluded house price dreamers have gone quiet...

 

They'll be getting their houses revalued.

 

90% of people on this thread are claiming the market will crash as its too expensive? Just cause people can't afford the good properties doesn't mean its gonna crash. It didn't crash much last time and if it does again it won't be much this time and I'm basing my knowledge on actual sales in new build properties. If it does crash again house builders will grind to a halt and the only sales will be from private buyers and if they don't need to sell why give your house away

 

That's just it, people will always need to sell.

 

It is too expensive. Answer me this one question please. Why are expensive houses a good thing, do you like spending more of your take home pay on a mortgage?

 

So when the worlds worst recession hit in 2008, where was the crash?

 

I don't pay much on a mortgage as I bought mine 10years ago at the start of the rising prices. So if they crashed it would mean I could buy a massive house cheap a couple of streets from where i live. Unfortunately I live in the real world and know it will never happen

 

Postponed by government monetary policy.

 

Come on Steve, say what you really mean!

 

spent a lovely day today, working from home, in my massive house, will probably fire up the Countax mower and mow my huge garden in a minute

 

+1.

 

Dont panic folk Im here .

Been busy sweeping leaves all day .Big Estates eh ,I wouldnt have another one .!!!!!


Right then ,you have noticed the Seasonal blip have you .???
People paying off the credit cards etc from their Summer jols .

Dont worry ,stand firm and be brave .!!!!

 

My wage is a lot more since I first bought my house so I could afford a massive house if they dropped but at todays prices I would I would have to add say £70k to my mortgage for a house that is aprrox half a metre to say one metre longer which isn't eactly worth it in my book but years ago it would of been say £7k so if they really dropped

 

Isnt September supposed to be a good month for house sales?

Maybe something else is going on?

 

Nah .
After such a dreadful summer ,people go out and book next years escape as soon as they come back from this years ,so October should see things in a different light .!!!!

 

Yeah, right, October will see prices rising by 3.6% ....

 

October eh?

Riiiiight.

 

House prices are still under downward pressure as sellers outnumber potential buyers, surveys suggest.

The Royal Institution of Chartered Surveyors (Rics) said 44% of its members had seen prices fall in the past three months.

Only 6% reported that prices had risen, while 50% said they had been stable.

Meanwhile, figures from the Council of Mortgage Lenders showed that the number of home loans approved for house purchases in August had fallen by 8%.

Down, Down, Down ..................

 

But then on the other hand the countries population is set to rise to 103 milion in the next 100 years .

And just where are they going to live .?????????
Property is the new "Gold" .!!!!!!!!!!!!!

 

Yeah, of course it is

 

Rightmove have just announced that asking prices have increased by 3.1%

They are staggered, as well as I am!!

Sellers testing the markets, they say ... and Estate Agents 'outbidding' each other to get property onto their books.

I think, this time, buyers are not going to blink first ......

http://www.negotiator-magazine.co.uk...rice-hike-1507

 

Shipside says it's a stand-off between buyers and sellers. He said that sellers would blink first.

Also remember that RM is asking prices. Crafty sellers bump up the asking price to get closer to the price they want to sell for, after discount.