chem1st Posted July 12, 2012 Share Posted July 12, 2012 Average property values will not return to their 2007 peak until 2024 once inflation has been taken into account, according to their report. The worst hit people are those who bought at or close to the top of the market before the debt-fuelled housing bubble popped in a catastrophic boom and bust under the last Labour government. In real terms, the price of the average home has fallen 24 per cent from a peak of £189,000 in 2007 to £143,000 today, say PwC. It says prices will bottom out at £138,000 in 2014, a total fall of 27 per cent, before starting to rise slowly. They will still be 7 per cent below their peak in real terms in 2020. Many homeowners who bought at the peak of the market – often with huge mortgages – are now in negative equity because the property is now worth less than the loan. Read more: http://www.dailymail.co.uk/news/article-2172322/House-prices-stuck-17-year-slump-says-PricewaterhouseCoopers.html#ixzz20PVoKPul The same scenario befell the country 80 years ago and the BoE lowered interest rates to record lows (like they have now), the interest rate was lowered to 2% and kept there for 7 years, the country enjoyed the biggest building boom of the entire century, up until the outbreak of WWII. August 24th 1939, the rate was increased to 4%. Within a week young men were conscripted and we were at WAR. Within 2 months the rate was back down to 2% and it stayed at 2% for just over a decade. Link to comment Share on other sites More sharing options...
alchresearch Posted July 12, 2012 Share Posted July 12, 2012 And? Nobody forced people to buy houses at the peak of the market. Anyone with the slightest bit of common sense could see how things were going to pan out. Link to comment Share on other sites More sharing options...
F. Sidebottom Posted July 12, 2012 Share Posted July 12, 2012 So, house prices in general have fallen. Which means more first time buyers and possibly homeless people can afford to buy. And you're STILL moaning!!!! What will it take to keep you happy???!!! Link to comment Share on other sites More sharing options...
Agent Orange Posted July 12, 2012 Share Posted July 12, 2012 So, house prices in general have fallen. Which means more first time buyers and possibly homeless people can afford to buy. And you're STILL moaning!!!! What will it take to keep you happy???!!! A free house and free land. He won't be happy until he gets it all on a silver plate. Link to comment Share on other sites More sharing options...
chem1st Posted July 12, 2012 Author Share Posted July 12, 2012 What will it take to keep you happy???!!! Council houses with gardens and allotments for ALL (who want them). Cheaper beer and cigs. Purple wheely bins. Link to comment Share on other sites More sharing options...
alchresearch Posted July 12, 2012 Share Posted July 12, 2012 Purple wheely bins. You really don't want those. http://farm4.staticflickr.com/3421/3727464345_9eb70a1cd3_z.jpg Link to comment Share on other sites More sharing options...
F. Sidebottom Posted July 14, 2012 Share Posted July 14, 2012 Council houses with gardens and allotments for ALL (who want them). Cheaper beer and cigs. Purple wheely bins. Paid for by who? Me and other tax payers no doubt. Seems like the silver plate joke was true after all. Link to comment Share on other sites More sharing options...
barleycorn Posted July 14, 2012 Share Posted July 14, 2012 If we work on the premise that people actually got a mortgage they could afford then it only becomes a problem when you want to sell... I, for one, am happy with the balance slipping back in favour of first time buyers as it may mean I have some chance of actually buying one. jb Link to comment Share on other sites More sharing options...
Jim Hardie Posted July 14, 2012 Share Posted July 14, 2012 So, house prices in general have fallen. Which means more first time buyers and possibly homeless people can afford to buy. And you're STILL moaning!!!! What will it take to keep you happy???!!! Yes it's funny how everyone rejoices if the price of bread/cars/fags/ale/petrol falls but moans when the price of houses goes down. Link to comment Share on other sites More sharing options...
pattricia Posted July 14, 2012 Share Posted July 14, 2012 Read more: http://www.dailymail.co.uk/news/article-2172322/House-prices-stuck-17-year-slump-says-PricewaterhouseCoopers.html#ixzz20PVoKPul The same scenario befell the country 80 years ago and the BoE lowered interest rates to record lows (like they have now), the interest rate was lowered to 2% and kept there for 7 years, the country enjoyed the biggest building boom of the entire century, up until the outbreak of WWII. August 24th 1939, the rate was increased to 4%. Within a week young men were conscripted and we were at WAR. Within 2 months the rate was back down to 2% and it stayed at 2% for just over a decade. Best time to buy then. With interest rates so low, property is better than money in the bank. Link to comment Share on other sites More sharing options...
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