Well the national average over the last 5 years (Oct 2005 to Oct 2010) fell 6% so you have made a sensational gain.
What was the address so we can all marvel at the Land Registry data?
Or is this yet another 'hideous piece of journalism that plucks figures'?
The supply and demand debate has been held earlier in this thread (difficult to find I know) and proven to be wrong.
In short, Demand = desire to buy x ability to pay.
Because house prices are so expensive, very few have the ability to pay. So, although 'desire to buy' is high, the 'ability...
So thats a 6% return before you deduct agents fees, empty periods, wear and tear, maintenance, safety certificates, bad tenants, rent arrears, insurances etc etc. Then there's capital gains of nearly 30% should it go up and the possibility of a 20% price crash in the next two years.
Equally...
Wow, you have some faith in the Great British Public to be able to organise their finances like that.
The latest data I could find is that UK consumers currently have a total of £1.457 trillion owed. The vast majority of this figure – some £1.24 trillion – is secured debt in the form of...
This is not a precise science, if it was it would be all too easy. But, house prices have been falling for the last two quarters since the thread was started.
There is resistance, firstly from the Government who, like many before them, see house price growth as central to our ecomony and...
I hope your predictions are better than this bloke in Oct 2007.
He said "on this evidence it would seem the chances of prices falling by 15% or more are fairly remote". Then throughout 2008 they fell 15% or more.
I think its called the denial phase...
Almost four in 10 people selling their home have cut the price at least once since putting it on the market, according to a property website.
http://uk.finance.yahoo.com/news/40pc-property-sellers-cut-tele-3368912982.html?x=0
Well congratulation, you've just rewritten the laws of economics.
Just to get it clear, the income from a small flat pays for the mortgage on that flat and the mortgage on a bigger house. That's some business model.
Hometrack shows prices down again by 0.5% in January and now showing a real 2.2% drop year on year. The markets going to struggle with any Spring bounce this year.
http://uk.reuters.com/article/idUKTRE70Q00620110127
Is that after interest payments, emergency maintenance, safety certificates, periods when its not let, damage, letting fees, managing fees, wear and tear, defaulting tenants, income tax, etc etc
However, CML economist Peter Charles said that the lenders' group did not expect the Bank rate to rise above 1%. It currently stands at a record low of 0.5%.
So its likely to double. :shrug:
The markets are preparing themselves for a rise in interest rates.
http://uk.finance.yahoo.com/news/Halifax-latest-withdraw-best-tele-3577508625.html?x=0
1. The only talk now is "when will bank rates increase". This will worry people
2. Most that were going to do it, have done so. Discussion around the topic has shown that if house prices drop it is the parents money (often life long savings) that takes the first hit. This has happened to two...
Talking of 'ability to pay'
"2.7 million borrowers with tracker or variable rate mortgages would struggle to meet their mortgage repayments if they were to increase by more than £100 a month, the equivalent of just a 1 per cent interest rate rise on a £120,000 mortgage."...
It was said very much tongue in cheek. Many households have been leading the good life for a couple of years. They will be the same people that are bleating when rates go up.