Massive fall in house prices in July, 2010

[AtW]

There is further evidence that the housing recovery is running out of steam in a survey published today showing that prices dipped during July, the first decline in 15 months according to the property data specialist Hometrack.

Prices have fallen 0.1% this month as demand waned, supply rose and homes took longer to sell, the company said.

Hometrack's report also indicated that talk of impending public spending cuts is hurting confidence, with a 1.3% fall in new buyers registering with agents and homes now taking 8.7 weeks to sell – back to August 2009 levels.

Richard Donnell, director of research at Hometrack, said prices would fall further. "In recent months, much of the pent-up demand which stretched back to mid 2009, has now either been satisfied or dissipated," he said. "Further modest price falls are inevitable over the second half of the year."

More: Hometrack survey shows house prices fell 0.1% in July | Business | The Guardian

[DimPrawn]

At this rate, that nice detached house you've always longed for will be in your price range by September 2947.

[TimberWolf]

Don't panic. Power up the printing presses and slash interest rates.

[shaunbhoy]

Housebuyer interest alwaya wanes during the kids' summer holidays. Nothng to see here.

[rsingh]

There is further evidence that the housing recovery is running out of steam in a survey published today showing that prices dipped during July, the first decline in 15 months according to the property data specialist Hometrack.

Prices have fallen 0.1% this month as demand waned, supply rose and homes took longer to sell, the company said.

Hometrack's report also indicated that talk of impending public spending cuts is hurting confidence, with a 1.3% fall in new buyers registering with agents and homes now taking 8.7 weeks to sell – back to August 2009 levels.

Richard Donnell, director of research at Hometrack, said prices would fall further. "In recent months, much of the pent-up demand which stretched back to mid 2009, has now either been satisfied or dissipated," he said. "Further modest price falls are inevitable over the second half of the year."

More: Hometrack survey shows house prices fell 0.1% in July | Business | The Guardian

If you are buying a home, falling prices are good. Um....boomed

[markinbrussels]

Remember: affordable housing = 3.5 - 4 x annual income

UK average household income = 24.7K GBP

Thus, affordable house = 86.45 - 98.8K GBP

Still room to fall

[Mich the Tester]

UK average household income = 24.7K GBP

scary
How do people pay for their cleaning staff?

[TimberWolf]

Remember: affordable housing = 3.5 - 4 x annual income

UK average household income = 24.7K GBP

Thus, affordable house = 86.45 - 98.8K GBP

Still room to fall

An historic comparison of average house prices and average disposable income would be more interesting, because that's probably what matters most and has changed since globalisation took off. Some things are cheaper now than they were 20 years ago.

One thing that will probably never change is that it will take most of the average working life to pay for an average house, as there's a fixed supply of these, so no matter how rich or poor we become as a nation, that's roughly how things will always be. I expect.

[Pondlife]

scary
How do people pay for their cleaning staff?

I really wouldn't know the details. My valet is informed by the housekeeper and makes the arrangements.

[Moscow Mule]

scary
How do people pay for their cleaning staff?

Barter system.