Nationwide House Price Index Jan 2014

[Martin@AS Financial]

Key Points:


UK house prices increased by 0.7% in January and were 8.8% higher than January 2013


House prices are around 4% below their 2007 peak




http://i.emlfiles1.com/cmpdoc/1/1/2/...531C5M,7QWUR,1

[Zero Liability]

Doesn't that simply underscore how ridiculously over-valued they were in 2007?

[NorthWestPerm2Contr]

Doesn't that simply underscore how ridiculously over-valued they were in 2007?

no it doesn't underscore how ridiculously over-valued they were because this doesn't take into account the real value of money now as compared to before. In real terms we are way way below the prices of 2007.

[OwlHoot]

no it doesn't underscore how ridiculously over-valued they were because this doesn't take into account the real value of money now as compared to before. In real terms we are way way below the prices of 2007.

But most people's wages have hardly risen since 2007 either (including most contractors' rates). So given the amount of inflation since then, I think the generally reduced disposable income mostly if not more than compensates for any supposed reduction in real value.

[NorthWestPerm2Contr]

But most people's wages have hardly risen since 2007 either (including most contractors' rates). So given the amount of inflation since then, I think the generally reduced disposable income mostly if not more than compensates for any supposed reduction in real value.

Record low interest rates have kept the ratio of mortgage to earnings very low though, especially for those on the 0.5% above base rate deals.

[MarillionFan]

It's still a load of bollocks.

[Zero Liability]

But most of these mortgages are short-term fixes. What will happen when the rates rise, as they inevitably will?

[Flashman]

Key Points:


UK house prices increased by 0.7% in January and were 8.8% higher than January 2013


House prices are around 4% below their 2007 peak

http://i.emlfiles1.com/cmpdoc/1/1/2/...531C5M,7QWUR,1

The UK percentages are skewed by the massive price rises in London and the South East.

I'd be more interested in seeing the UK % increase excluding London and surrounding area.

[NorthWestPerm2Contr]

The UK percentages are skewed by the massive price rises in London and the South East.

I'd be more interested in seeing the UK % increase excluding London and surrounding area.

Very true. The area I am in has only gone down since 2007 and I was lucky enough to buy at the bottom, now it is just stagnant.

[Flashman]

Very true. The area I am in has only gone down since 2007 and I was lucky enough to buy at the bottom, now it is just stagnant.

Yeah pretty similar down here in the Midlands. House prices have gone nowhere.

Doesn't stop my council planning to build another 8,000 houses within a 10 mile radius of me.